What type of income not eligible for IRA account?
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