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Can I fund a Roth with money made in a foreign country?


I am an American living in Denmark. I plan on retiring in the US. I pay Dainish taxes. Can I fund a Roth in the States with, after tax, Danish income?

If you file a US tax return, you would have earned income as far as the IRS is concerned. Where you say you are paying Danish taxes I don't believe you will be able to contribute to a Roth IRA. I would look into what the Danish have for retirement plans. When you retire, you could always rollover the danish plan to a US IRA.

Yes. You can fund your US Roth IRA with any earned income worldwide.

Regardless your income is taxable by the US, you are also suppose to be reporting US income tax each year even if you are not living in the US, unless there is a special treaty that preclude you from filing. Once you have Roth IRA contribution and 1099-R, IRS will know that you have earned income from sources outside of US.

Best wishes.

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