Teen Ira Gallery -

: For 2026, the limit is $7,500 or 100% of your earned income , whichever is less.

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You can't just put birthday money or an allowance into a Roth IRA. The IRS requires earned income. teen ira gallery

: Starting at 15 versus 25 can result in hundreds of thousands of dollars in difference due to the "time value of money." 4. Beyond Retirement: Flexibility for Life

: You can withdraw your original contributions at any time, tax and penalty-free. This makes it a great "emergency fund" for major life goals. : For 2026, the limit is $7,500 or

Since minors cannot legally open investment accounts themselves, a parent or guardian must set up a custodial account .

: Parents can contribute on a teen's behalf . If a teen earns $1,000 at a job and spends it, a parent can still put $1,000 of their own money into the teen’s Roth IRA. 3. The "Gallery" Effect: Compound Interest in Action Learn more You can't just put birthday money

Think of your Roth IRA as a gallery where each contribution is a piece of art that grows in value over time.