Hello, Could someone please tell me if you need to file a W2 or a 1099 to be eligible to open a ROTH IRA account? I know you need earned income, subject to income limitations and filing/married/single status. But, I seem to recall reading something in the past that said you also had to have a W2 and not a 1099 employment status.
http://www.irs.gov/publications/p590/ch01.html#en_US_2011_pu... Table 1-1 explains acceptable "compensation".W2 is not required. Self-employment income is acceptable.
Could someone please tell me if you need to file a W2 or a 1099 to be eligible to open a ROTH IRA account? I know you need earned income,...No third-party reporting is necessary, and no wage income is necessary. Actually the term of art is "taxable compensation," and by law that includes:1. Wages and salary2. Net earnings from self-employment3. AlimonySee Pub 590.PhilRule Your Retirement Home Fool
Thanks for the information, appears I was mistaken for many years.
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