mrichman333 Posted February 12, 2016 Report Share Posted February 12, 2016 OK, I know the answer to this but I'm asking just in case. I have a MFJ Tax Payer, both have businesses that made a profit, they also own a farm (business ?) jointly that had a big loss and wiped out their taxable income. So do they or do they not have taxable compensation for ROTH purposes? Quote Link to comment Share on other sites More sharing options...
joanmcq Posted February 13, 2016 Report Share Posted February 13, 2016 They do not. Net employment income is zero. 1 Quote Link to comment Share on other sites More sharing options...
mrichman333 Posted February 13, 2016 Author Report Share Posted February 13, 2016 That's what I said, sorry no you cannot contribute. What is the farm belongs to one spouse and not both? Can one that still has a profit contribute? Quote Link to comment Share on other sites More sharing options...
kcjenkins Posted February 15, 2016 Report Share Posted February 15, 2016 Yes, each IRA belongs to the individual, so if either has positive earned income that one can contribute to an IRA. 1 Quote Link to comment Share on other sites More sharing options...
Gail in Virginia Posted February 17, 2016 Report Share Posted February 17, 2016 Actually, if EITHER has positive income, then they can both contribute - one to a "spousal" IRA, as long as the total contributed does not exceed the total earned, and, of course, the limits. 2 Quote Link to comment Share on other sites More sharing options...
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