Roth IRAs for Kids - What You Need to Know!

Do you want to help fund a Roth IRA for your kids? As a business owner, you might be able to implement this strategy by employing your children. Just make sure that before you start writing checks, you read through this list and talk with your CPA and/or Advisor: 1. Your child must have earned income – The IRS requires anyone who wants to contribute to their Roth IRA to have earned income. 2. You must follow employment laws – In general, your child’s pay must be reasonable for their role, and they should be treated like any other employee. 3. You must keep great records – Keeping good records is a no brainer. If you’re implementing this correctly, you’ll have good records to show that your child is employed legitimately. When done right, this can be a powerful strategy to give your kids a head start on tax-free growth for decades! 🌱 #RothIRA #GenerationalWealth #FinancialPlanning #BusinessOwnerPerks