American and foreign wife have questions about Roth IRA

[Guest toddwyks]

I am an American, a resident of New York State, who lives in Taiwan; my wife is a Taiwanese.

I make less than $50,000 US a year ( which is tax exempt as I reside overseas).

I have no other income in the US.

Can I open a Roth IRA ?

If so, can I put in up to $ 4,000 each year even though my wife is not an American ?

Can she be the beneficiary of this account should I pass away?

Thanks

Todd Wyks

[JAMES PATRICK]

To contribute to an IRA,traditional or Roth,you must have

"earned income". As you do not have earned income, you can not contribute to an IRA.

[JAMES PATRICK]

Let me correct my previous post. You most have"taxable" income and since you do not have taxable income you can not contribute to an IRA.

[Guest Bill Angell]

Actually you or your spouse would need U.S. "taxable compensation" which includes taxable earned income of a self-employed person but also W-2 wages for personal services rendured during the tax year and alimoney or separate maintenance that is taxable in the U.S.

Citizenship has nothing to do with it.

[Guest toddwyks]

Thanks for the reply .

Is there any "IRA - like" plan that I can qualify for?

Also , whats would be the minimum taxable income I would need in the US to qualify for an IRA?

Todd Wyks

[Guest Bill Angell]

All qualified plans require taxable compensation so there would be no "IRA like" plan that you could contribute to.

There is no statutory minimum amount of compensation required for an IRA contribution. Under the law you can contribute up to 100% of compensation subject to the $2,000 upper limit per person for all traditional and Roth IRAs combined. As a practical matter, you would have to have enough compensation to meet the IRA issuance minimum for the funding selected.