I want to contribute to a Roth IRA. According to TurboTax, this is causing an increase to my taxes for the current year. Why is this happening? Our AGI is only $14,000.

SJ1731 · ‎June 3, 2019

VolvoGirl · ‎June 3, 2019

You can only contribute from earned income like W2 wages or a Net Profit from self employment. You need to take the contribution out of the IRA account right away! Or you will keep getting penalized for the excess contribution.

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SweetieJean · ‎June 3, 2019

Is the AGI earnings from work, or a profit from self-employment?

SJ1731 · ‎June 3, 2019

It's from Social Security.

VolvoGirl · ‎June 3, 2019

You can only contribute from earned income like W2 wages or a Net Profit from self employment. You need to take the contribution out of the IRA account right away! Or you will keep getting penalized for the excess contribution.

SJ1731 · ‎June 3, 2019

Thanks. The good news is that I have not made the contribution. I came here to ask before I went ahead with it.

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I want to contribute to a Roth IRA. According to TurboTax, this is causing an increase to my taxes for the current year. Why is this happening? Our AGI is only $14,000.