My wife no longer has a job due to Covid since 2020 and has no earned income other then the nontaxable IHSS from California. We have not been reporting this for many years as she is a live in provider for our daughter. I am retired and collecting a pension plus SSA both of which are not concidered Earned Income. She is only 58 and has an IRA that we are putting money into each year. This year TurboTax tells us that YOUR IRA CONTRIBUTION ISN'T PERMITTED, because our earened income is zero. We no longer get any W-2's or 1099 on the money she makes from IHSS. So my question is, How do we report IHSS as earned income so to avoid a 6% penalty each year that the money remains in the IRA account?
