Following type of income is not eligible to participate in the IRA including Roth IRA.Some types of income don’t count as earned income, including:
- Social Security
- Income from rental property
- Alimony
- Child support
- Interest and dividends from investments
- Pay you received while an inmate in a penal institution
- Retirement income
- Unemployment benefits
Basically law requires that for IRA accounts, a person must have Earned Income which basically means money from wages, salaries, tips, bonuses, commissions, and self-employment income.
Prashant Thakur Changed status to publish March 13, 2020
