My primary source of income in 2017 has been characterized by my former employer as "supplemental wages". Can I use those funds to contribute to an IRA?

redkdd · ‎June 3, 2019

DanO · ‎June 3, 2019

Most likely, if the wages you received were for personal service actually rendered then it can be used to contribute to an IRA.

Regardless of what your former employer labels the income, if you did something to earn the wages, then it is considered compensation. You would know best what the income was for, but here is some information on which you can base your decision.

Click here for determining compensation to contribute to an IRA

View solution in original post

DanO · ‎June 3, 2019

Most likely, if the wages you received were for personal service actually rendered then it can be used to contribute to an IRA.

Regardless of what your former employer labels the income, if you did something to earn the wages, then it is considered compensation. You would know best what the income was for, but here is some information on which you can base your decision.

Click here for determining compensation to contribute to an IRA

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My primary source of income in 2017 has been characterized by my former employer as "supplemental wages". Can I use those funds to contribute to an IRA?