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    siddharta1979's Avatar
    siddharta1979 Posts: 3, Reputation: 1
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    #1

    Apr 4, 2012, 04:30 PM
    Roth IRA for F-1 on Fellowship
    Hi,
    I'm an international student on F-1 visa. While I don't plan to retire in the US, I do plan to find a job and stick around for some more year. I would like to open a Roth Ira, but I have been told I can not, because my income, produced via a fellowship (I'm a teaching fellow or Teaching Assistant as you want to call it), falls under the category of scholarships, grants, etc. and therefore can not be used to contribute toward a Roth Ira. Checking the internet that doesn't seem to be right, but I've been unable to find a definite answer.
    Can you help me?

    Thanks!
    taxesforaliens's Avatar
    taxesforaliens Posts: 649, Reputation: 117
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    #2

    Apr 4, 2012, 05:00 PM
    “Scholarship and fellowship payments are compensation for IRA purposes only if shown in box 1 of Form W-2.” from IRS Publication 590.

    The other issue would be that it would be hard to find an IRA for non-resident aliens. Most of them are restricted to citizens/permanent residents/resident aliens.
    siddharta1979's Avatar
    siddharta1979 Posts: 3, Reputation: 1
    New Member
    		  
    #3

    Apr 4, 2012, 07:10 PM
    My compensation is in box 1 (Wages, tips, other compensation) of my W-2.
    Now, what do you mean it would be hard to find an Ira for NR aliens? If I am allowed to open a Roth, what's the other issue?

    Thanks a lot for your help!
    taxesforaliens's Avatar
    taxesforaliens Posts: 649, Reputation: 117
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    #4

    Apr 5, 2012, 05:23 PM
    A few years ago it was difficult to find a custodian offering IRAs for non-resident aliens as there weren't many (maybe that changed). That's what I mean with being hard to find.
    siddharta1979's Avatar
    siddharta1979 Posts: 3, Reputation: 1
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    #5

    Apr 5, 2012, 05:43 PM
    custodian = broker?
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