Any retired investors take a part-time/seasonal job just to qualify for Roth IRA contributions?

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S17C
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Any retired investors take a part-time/seasonal job just to qualify for Roth IRA contributions?

Post by S17C » Thu Apr 20, 2017 4:16 pm

I'm wondering if retired investors specifically take a part-time or seasonal job just so that they qualify to contribute to Roth IRA?
Last edited by S17C on Fri Apr 21, 2017 2:07 pm, edited 2 times in total.

btenny
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Re: Any retired investors take a part-time/seasonal job just to qualify for Roth IRA contributions?

Post by btenny » Thu Apr 20, 2017 4:45 pm

A friend of mine did this for many years for multiple reasons. He was a retired college professor. He worked as a ski instructor for many winters for fun and the benefits. He got paid very little but enough to qualify for Social Security as a year of work and for IRA investing. He already had a pension he was drawing from his school and a second pension from the feds from previous work. But he needed more years to be eligible for SS. So he worked for fun and to keep busy and for these added benefits. I worked at the same job for 6 years as well. It was a fun job that kept me active.

Good Luck

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JDCarpenter
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Re: Any retired investors take a part-time/seasonal job just to qualify for Roth IRA contributions?

Post by JDCarpenter » Thu Apr 20, 2017 5:20 pm

We won't consider it; if you have tax-deferred 401k/IRAs, you can convert far more than you can contribute.

Plus, I think/expect that we would be loath to take time away from freedom just to put a little something extra away that would most likely be just to benefit our kids/grandkids. (Not quite retired yet....)

{typo corrected}
Last edited by JDCarpenter on Thu Apr 20, 2017 5:56 pm, edited 1 time in total.
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Alan S.
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Re: Any retired investors take a part-time/seasonal job just to qualify for Roth IRA contributions?

Post by Alan S. » Thu Apr 20, 2017 5:31 pm

It is probably more likely that the Roth contribution would be an incidental benefit of the part time work rather than the leading motivator to work. The savers credit might be another contributing factor for those that would otherwise qualify.

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