How to Start a Roth IRA for Your Child

Kids have to have their own earned income. So you have to go through that formal process of paying the kids in order to justify their Roth contribution of seven grand. But with your spouse not necessary. But here's the thing. There's ways to compensate your spouse without putting them on payroll. You can compensate them through your draw if there's a kind of a political thing going on where they feel like I want to get paid, say okay, it'll be in your account every month through our draw. It's our draw. It's our marital income. So if you're going to take a draw of ten grand a month, just pick five of it and put it in your spouse's personal account too. It's going to be attributed to you as the draw so they still feel compensated. But you didn't put it on a W2. They're on the board. You're covering all these other expenses. It's a win, win, win.