If you have earned income or receive alimony, you can contribute to an IRA.  (Income from other sources such as investment or inheritance does not qualify).  There is no minimum age for opening an IRA.   And as long as you fall within the income restrictions, you can make regular contributions to Coverdell Education Savings Accounts and Roth IRAs.  You can contribute to Traditional IRAs until the year you reach the age of 70½.

The deadline to open or contribute to an IRA is the due date for your tax return (usually April 15^th) of the tax year.  In other words, contributions for a given year may be made as late as April 15^th of the following year. The contribution deadline for Coverdell Education Savings Accounts is the due date for that year's tax return (usually April 15^th).  However, in the year in which the beneficiary turns 18, contributions must be made prior to his or her 18^th birthday.

With a Traditional IRA, if you are under age 50 you can contribute up to $5,000 per year or 100% of compensation, whichever is less.  If you are age 50 or older, you can contribute up to $6,000 annually or up to 100% of compensation, whichever is less, and you can withdraw money any time without penalty if you meet any of the following criteria:

• You are over age 59½
• You become disabled
• You die and funds are paid to your beneficiary
• Funds are used for a first home purchase ($10,000 lifetime limit)
• Funds are used to pay higher education expenses

However, you must begin withdrawals no later than April 1^st of the year following the one in which you reach 70½.

If you have a working or non-working spouse and you file a joint tax return, he or she can open a separate IRA account and contribute up to $5,000 annually if he or she is under age 50.  If your spouse is 50 or older, he or she may contribute $5,000.   

There are no income restrictions for Traditional IRAs.  However, if you or your spouse is an active participant in an employer-sponsored retirement plan, the extent that your contributions are tax deductible depends on your income level and tax filing status as follows:

• Full deduction for singles earning under $53,000
• Full deduction for married couples filing jointly earning under $85,000
• Graduated deduction for singles earning $53,000-$63,000
• Graduated deduction for married couples earning $85,000-$105,000 
• No deduction for singles earning over $63,000
• No deduction for married couples earning over $105,000

The amount that you can contribute to a Roth IRA depends on your income as follows:

• If you are under age 50, you can contribute up to $5,000 or 100% of compensation and alimony, whichever is less.  If you are 50 or older, you can contribute $6,000 annually or 100% of compensation and alimony, whichever is less. 
• Full contribution is allowed if income is less than $101,000 for singles and less than $159,000 for married couples filing jointly.  Phase out ranges are $101,000-$116,000 and $159,000-$169,000 respectively.

With Roth IRAs you don't have to begin withdrawing money at age 70½, as is the case with traditional IRAs.  You can leave your funds in your accounts, and earnings will grow tax free for as long as you like.

The amount you may contribute to a Coverdell Education Savings Accounts depends on your income as follows:

• Singles can contribute up to $2,000 annually if income is less than $95,000
• Contributions for singles phase out as income reaches $110,000 
• Income limits run from $190,000 to $220,000 for married couples filing jointly
• Contributions can also be made by estates, trusts, businesses and other non-person entities with out income limitations.  However, contributions from all sources cannot exceed $2,000 per year per beneficiary.

Contributions to Coverdell Education Savings Accounts aren't tax deductible.  However, earnings grow tax free, and you pay no taxes or penalties on withdrawals to pay for qualified elementary, secondary or post-secondary expenses, such as tuition, room and board and fees, before the beneficiary reaches age 30.  You also pay no taxes or penalties on withdrawals if you become disabled or if you die and the funds are paid to your beneficiary.