Question

How do you know if you are eligible to open and make contributions to a Roth IRA?

You have to have held your current job for at least 1 year.


You have to earn below a certain amount to make contributions.


You have to have a 401(k) account before opening up a Roth IRA.


You have to be over the age of 25 to open up a Roth IRA.

Answer 1

The correct answer is letter "B":You have to earn below a certain amount to make contributions .

Step-by-step explanation:

A Roth Individual Retirement Account (IRA) is the type of retirement account where contributions grow tax-free and allows individuals to withdraw funds under certain conditions. People are eligible to open a Roth IRA as long as their income is less than $139,000 for singles and $206,000 for married couples- information that applies for the year 2020.