excess FA in bank account

[4kidsdad]

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Regarding the IRA, I thought you could just open one with whatever funds

You can’t open IRA with your excess F.A. See [Publication</a> 970 (2013), Tax Benefits for Education](<a href=“http://www.irs.gov/publications/p970/ch01.html]Publication”>http://www.irs.gov/publications/p970/ch01.html)

Individual retirement arrangements (IRAs). You can set up and make contributions to an IRA if you receive taxable compensation. Under this rule, a taxable scholarship or fellowship is compensation only if it is shown in box 1 of your Form W-2, Wage and Tax Statement.

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