I am a long time lurker/limited poster that recently FIRED and currently slow traveling the world for a year+. My wife (fully FIRED) and I are both 50yo and have two dependent kids if that matters. I'm wondering if I we can maintain our yearly individual Roth IRA contributions given our current situation which may not have adequate "active" income? The following is our expected income for the year which is being subsidized by savings to meet living expenses.
1. Rental income - $20k net
2. Investment income - $10k from CD's/I Bonds
3. W2 - $20k from very limited part time work with my former full-time employer. 100% of this is going into a Roth 401k. This is why I am not sure if I can fund my individual Roth.
4. Roth conversion - I intend to convert an additional amount to have a total AGI of $76k. This is the sweet spot for ACA to receive full subsidies and avoid CHP for the kids.
As mentioned above, my question is if the W2 income going into Roth 401K counts as earned income meeting the requirements for an individual Roth IRA contribution?
I would appreciate any thoughts on this question or calling attention to any holes in my startegy. Thanks!
