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Can I Continue Contributing to a Roth IRA After Age 62? A Complete Guide for California Retirees

If you’re 62, retired, and wondering whether you can still save for the future through a Roth IRA, you’re not alone. Many California retirees face this exact question as they transition into their post-career years while seeking to maintain financial security and flexibility.

The short answer: There is no age limit for contributing to a Roth IRA, as long as you have earned income. This guide will help you understand how Roth IRAs work in retirement, who they benefit most, and how to integrate them into your broader estate and financial plan.

Source: MarketWatch – “I’m 62, retired and want to keep saving. Is there an age limit for Roth IRAs?”

Who Should Keep Contributing to a Roth IRA After Retirement?

This article is for California residents who:

  • Are age 62 or older and still earning income from part-time work, consulting, or self-employment
  • Want to continue building tax-free savings for themselves or their heirs
  • Are planning their estate and looking for tax-efficient ways to transfer wealth
  • Value financial flexibility and want to avoid required minimum distributions (RMDs)
  • If you’re managing California-based assets and want to protect your family’s financial future, understanding how Roth IRAs fit into your estate plan is essential.

    What Are the Rules for Contributing to a Roth IRA After Age 62?

    Many retirees mistakenly believe that once they stop working full-time, they can no longer contribute to retirement accounts. Here’s what you need to know:

    1. You Must Have Earned Income

    To contribute to a Roth IRA, you need to have earned income from:

  • Wages or salary from part-time or full-time work
  • Self-employment income (consulting, freelance work, small business)
  • Alimony received (if the divorce was finalized before 2019)
  • Note: Income from pensions, Social Security, annuities, or investment dividends does not count as earned income for IRA contribution purposes.

    2. Income Limits May Apply

    For 2026, Roth IRA contributions are subject to income phase-out limits:

  • Single filers: Phase-out begins at $146,000 and ends at $161,000
  • Married filing jointly: Phase-out begins at $230,000 and ends at $240,000
  • If your income exceeds these thresholds, you may not be able to contribute directly to a Roth IRA. However, a “backdoor Roth IRA” conversion may still be an option—consult with a qualified financial advisor or estate planning attorney to explore this strategy.

    3. Contribution Limits

    For 2026, the annual Roth IRA contribution limit is:

  • $7,000 for those under age 50
  • $8,000 for those age 50 and older (includes a $1,000 “catch-up” contribution)
  • Why Continue Contributing to a Roth IRA in Retirement?

    There are several compelling reasons to keep funding a Roth IRA even after you’ve retired:

    1. Tax-Free Growth and Withdrawals

    Unlike traditional IRAs, Roth IRA contributions are made with after-tax dollars. This means:

  • Your money grows tax-free
  • Qualified withdrawals in retirement are 100% tax-free
  • You won’t pay taxes on earnings if you follow the rules (account open for 5+ years and you’re 59½ or older)
  • 2. No Required Minimum Distributions (RMDs)

    Traditional IRAs and 401(k)s require you to start taking RMDs at age 73 (as of 2024). Roth IRAs do not have RMDs during your lifetime, giving you:

  • Greater control over when and how much you withdraw
  • The ability to let your investments grow longer
  • A powerful estate planning tool to pass wealth to heirs
  • 3. Legacy Planning and Wealth Transfer

    If you don’t need the money in your Roth IRA during your lifetime, it becomes an excellent vehicle for passing wealth to your children or grandchildren. Benefits include:

  • Heirs can inherit the Roth IRA tax-free (if certain conditions are met)
  • Beneficiaries must take distributions within 10 years under current law, but those distributions remain tax-free
  • Roth IRAs are not subject to California state income tax upon inheritance
  • For California families managing multi-generational wealth, integrating Roth IRAs into your revocable living trust or estate plan can help minimize tax burdens and maximize what you leave behind.

    Real-World Example: How a Roth IRA Helps California Retirees

    Case Study: Susan, a 64-year-old retired teacher from Sacramento, works part-time as a consultant earning $25,000 per year. She contributes the maximum $8,000 annually to her Roth IRA. Over 10 years, assuming a 6% average annual return, her contributions could grow to approximately $110,000—completely tax-free. Because Susan doesn’t need this money for living expenses, she plans to leave it to her grandchildren, who will inherit it tax-free and can continue letting it grow for up to 10 more years.

    By working with California Probate and Trust, PC, Susan integrated her Roth IRA into a comprehensive estate plan that includes a revocable living trust, healthcare directives, and a durable power of attorney—ensuring her family is fully protected.

    How Does a Roth IRA Fit Into Your Estate Plan?

    If you’re a California resident concerned about estate taxes, probate, and protecting your family, it’s critical to view your Roth IRA as part of a larger financial and legal strategy.

    Key Considerations:

  • Beneficiary designations: Make sure your Roth IRA beneficiary forms are up to date and aligned with your trust and will
  • Coordination with trusts: In some cases, naming a trust as your Roth IRA beneficiary may provide additional control and protection
  • Tax planning: Work with an estate planning attorney to minimize estate and income taxes for your heirs
  • Probate avoidance: Roth IRAs pass directly to beneficiaries outside of probate, but must be properly coordinated with your overall estate plan
  • At California Probate and Trust, PC, we help clients integrate retirement accounts like Roth IRAs into comprehensive estate plans that protect both their financial assets and their loved ones.

    Common Questions About Roth IRAs for Retirees

    Can I convert my traditional IRA to a Roth IRA after age 62?

    Yes. There is no age limit on Roth conversions. However, you will owe income tax on the amount converted. This strategy can make sense if you expect to be in a higher tax bracket later or want to leave tax-free assets to heirs.

    What if I only have Social Security income?

    Social Security benefits do not count as earned income, so you cannot contribute to a Roth IRA based solely on Social Security. However, if you have any self-employment or part-time work income, you can contribute up to the lesser of your earned income or the annual limit.

    Should I prioritize a Roth IRA or paying down debt?

    This depends on your individual situation. If you have high-interest debt, paying that off may take priority. However, if your debt is manageable and you have earned income, contributing to a Roth IRA can provide long-term tax benefits and estate planning advantages.

    How California Probate and Trust, PC Can Help

    At California Probate and Trust, PC, we understand that retirement planning doesn’t stop at age 62. Our experienced estate planning attorneys help California residents:

  • Create comprehensive estate plans that integrate retirement accounts, real estate, and other assets
  • Establish revocable living trusts to avoid probate and protect your family
  • Develop tax-efficient wealth transfer strategies
  • Ensure your beneficiary designations align with your overall estate plan
  • Provide clarity and peace of mind during complex legal and financial decisions
  • Our firm has represented thousands of clients across Sacramento, Fair Oaks, and the Bay Area. We offer free consultations to help you understand your options and develop a plan tailored to your unique needs.

    Take Control of Your Retirement and Estate Plan Today

    If you’re 62 or older and still earning income, contributing to a Roth IRA can be a smart financial move—especially when integrated into a comprehensive estate plan. Whether you’re looking to maximize tax-free growth, avoid probate, or leave a lasting legacy for your family, the right legal and financial guidance makes all the difference.

    Ready to take the next step?

    Contact California Probate and Trust, PC today to schedule your free estate planning consultation. Our compassionate, experienced attorneys will help you navigate the complexities of retirement savings, estate planning, and wealth transfer—so you can focus on what matters most: protecting your family and your future.

    📞 Call us at (866) 674-1130 or visit cpt.law to get started.


    Legal Disclaimer: This article is provided for informational purposes only and does not constitute legal, financial, or tax advice. The rules governing Roth IRAs, estate planning, and retirement accounts are complex and subject to change. Every individual’s situation is unique, and the information provided here may not apply to your specific circumstances. You should consult with a qualified estate planning attorney, financial advisor, or tax professional before making any decisions regarding Roth IRA contributions, conversions, or estate planning strategies. California Probate and Trust, PC does not guarantee any specific outcome or result based on the information in this article.