Summer is around the corner! If your teen has a job—dog walker, babysitter, mowing lawns—they’re eligible to contribute to a Roth IRA. That’s right, they don’t need to be "grown-ups" to start a savings plan.
Why this matters:
- Tax-free growth for decades
- Time is on their side—the earlier they start, the more it grows
- They can withdraw Roth contributions anytime, no penalties
- They can be flexible: funds can be used for more than retirement, such as college or first-time home.
All it takes is earned income and a custodial Roth IRA (you’ll co-own the account if they’re under 18).
This is one of the most powerful gifts you can give your child: a financial head start and a mindset for long-term success.
Talk to them about it. Better yet—let's show them how to do it. Contact us today!