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Roth IRA contributions / baby sitting income
In 2018 my daughter made $1,000 babysitting. She contributed $1,000 to her Roth IRA. We reported it in Turbotax under "miscellaneous income" then "other reportable income". There was no problem. It placed the income under line 1 on 1040. This year under the same circumstances the software is stating she is not eligible for a Roth contribution and placing the income on line 7a on form 1040. Has the law changed? Is babysitting not earned income?
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‎February 5, 2020
6:54 AM