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She lives in England because her USAF husband is stationed there. She has a full-time salaried job in a bicycle shop and is paid in pounds. Her understanding is his income is taxed as if they were still living in VA. Can they contribute the maximum this year to Roth IRAs for each of them ?

If they file a joint US return showing at least $10,000 in taxable compensation and meet the income limit each can contribute $5,000 to a Roth. (Pub 590)

I haven't a clue whether her understanding is correct or not, nor do I know how her pay is treated. For information about that I'd look to the legal office at his base, if there is one, or the Embassy or a consulate. They have people who can address specific situations.

Rule Your Retirement Home Fool
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