Retirement tax questions

That depends on how it is paid and taxed.  I'm not familiar with Fullbrights specifically.

 

In general, graduate stipends and post-doc fellowships are considered "education" and are exempt from SS and medicare tax withholding.  That means they are not considered "earned income" (income earned from working).  But from the SECURE act of 2019, they are considered compensation for IRA purposes.  There is a specific way to enter the fellowship in Turbotax to get the program to recognize this.

 

Or, if the fellowship is reported on a W-2, or a 1099-NEC and you pay self-employment tax, then it is automatically considered compensation for services performed.

 

The grey area would be if the fellowship is paid on a 1099-MISC and is not reported as self-employment.  Can it be considered part of your education if you are not in a degree program or part of a postdoctoral training program at an educational institution.  You may need professional tax advice.  

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