Submitted by shari_4cr@hotma... on Tue, 2007-10-23 12:17 Forums: IRA Discussion ForumIs it possible to contribute to a Roth IRA for small children with gifted funds from parents, etc.? Thanks. Permalink Submitted by alan-oniras@yah... on Tue, 2007-10-23 13:40 Yes, the Roth contribution can be subsidized by a relative, but the child still must have taxable compensation to be eligible. This is often done by matching the allowance income or odd job income so that the child can keep the income, but also gets the additional funds to make a Roth contribution. Documentation of the child's hours of work should be kept if there is no W-2 requirement. It may also take some work to find a willing IRA custodian, since many of them are not interested in small IRA accounts for minors.