Ask The Expert: Contributions

Q: Can I start a Roth IRA for my new grandson ?
See other answers from this expert. 83 out of 129 people found this useful.

Unfortunately, no. At least not unless your new grandson is making money! To contribute to a Roth IRA, you need to have earned income. It's fine if the money comes from somewhere else, but the person opening the Roth must have income of their own. When he becomes a teenager, a Roth might be a great option. In the meantime, you might want to consider a 529 to start saving for college. The early you start saving the better.

Was this answer useful?