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Hello
For 2024, my grad dependant student had W2 earned income $800 and unearned Interest Income $800.
So AGI1600-SD1300 = 300 taxable income and 10%tax =30.
My question is :
Is he allowed to contribute entire AGI $1600 into his Roth IRA ?
or
Just the W2 Earned income of AGI i.e. $800 into his Roth IRA?
Pub590a Pg40 Worksheet 2-1 for MAGI for Roth IRA purpose only mentions to use Lin 11(AGI) from 1040.
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Only the $800 of earned income allows the Roth contribution.
Understood. Thank you.
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