topic Can I contribute to an IRA if I pay self-employment tax but not income tax? in Self employed

Can I contribute to an IRA if I pay self-employment tax but not income tax?

justin_l — Tue, 24 Feb 2026 07:01:52 GMT

I live overseas and generally don't have to pay income tax due to the Foreign Earned Income Exclusion. However, this year I will be filing as a self-employed person and paying the self employed tax. Can I contribute to an IRA? Previously I could not because all my income was excluded and I was not paying taxes, so I am wondering if my situation changes now.

Re: Can I contribute to an IRA if I pay self-employment tax but not income tax?

rschule1 — Thu, 31 Aug 2023 00:01:35 GMT

Hi There

Since you anticipate paying self employment tax that is a sure sign that you have earned income which will make you eligible to contribute to an IRA. But FYI, an IRA deduction could lower Federal Income Taxes, but it will not lower self employment taxes.