If I have a net loss in my self-employment, can I still contribute to a Roth IRA?

[cekovic4]

I have income from my own business, but after applying deductions for expenses, I have a net loss.  Can I count the income piece for purposes of earned income to contribute to a Roth?

[Zbucklyo · Accepted solution]

No, it is the net income that matters.  If this is your only earned income, you will not be able to contribute to a Roth IRA.

[Marketstar]

No, unfortunately, you must produce positive net income to deduct an IRA.

Per IRS: To contribute to a Traditional IRA, you must be under age 70½ at the end of the tax year.

 You, and/or your spouse if you file a joint return, must have earned income, such as wages, salaries, commissions, tips, bonuses, or net income from self-employment.

Taxable alimony and separate maintenance payments received by an individual are treated as compensation for IRA purposes.

[VoxProPat]

A clarifying questions:

Married, filing jointly.  Together we have a net positive income. Separately, my business has a net loss (though I had income from it).  Can we each contribute to an IRA because we had net positive income, or only my wife can, and I cannot?

[fanfare]

if your spouse had income and you did not, they can contribute up to that income or the limit to your IRA.
That is a spousal IRA contribution.