What are spousal IRA rules?

The regular IRA rules apply to spousal IRAs. After all, this is a plain old Roth or traditional IRA that you're funding on their behalf. Here are the most important rules to be aware of: Your spouse controls their IRA. Because your spouse owns their IRA, they get to decide what to invest in, even if you funded the account.

Can a spouse open a spousal IRA?

There is no special type of IRA for spouses; instead, the rule allows non-working spouses to contribute to a traditional IRA or a Roth IRA, provided they file a joint tax return with their working spouse. Individual retirement accounts opened under the spousal IRA rules are not co-owned.

Do you need a spousal IRA?

For couples looking to save for two retirements when only one spouse is earning income. You generally need earned income to contribute to an IRA. A spousal IRA is funded on behalf of a spouse with little to no income. To fund an IRA on behalf of a spouse, you need to file a joint tax return. What is a spousal IRA?