The information in the reply above is still accurate for tax years through 2019. Fellowship income is not eligible compensation for making an IRA contribution unless it is reported to you in box 1 of a W-2.
You can't contribute more than the taxable compensation you have each year. And if you contribute too much, you could be subject to penalties in the form of a 6% tax charged by the IRS on excess contributions that aren't withdrawn by the date your tax return is due.
There was legislation passed in December of 2019 that changes the above. For tax years beginning after December 31, 2019 (Jan 1, 2020), certain taxable non-tuition fellowship and stipend payments are treated as compensation for the purpose of IRA contributions. Compensation will include any amount included in your gross income and paid to aid in your pursuit of graduate or postdoctoral study.
@douglab
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