Yes, you can open a Roth IRA with an ITIN, provided you have qualifying U.S. earned income reported on a tax return. The federal statute governing Roth IRAs conditions eligibility on income, not immigration status or the type of taxpayer identification number you use.1Office of the Law Revision Counsel. 26 U.S. Code 408A – Roth IRAs The harder part is practical: not every brokerage will open a retirement account for an ITIN holder, and the firms that do usually require a paper application rather than the online sign-up flow available to SSN holders.
Who Qualifies
Two things determine whether you can contribute: you need earned income, and your modified adjusted gross income has to fall below the Roth phase-out ceiling.
Earned income means wages, salary, tips, and self-employment income. Investment returns, rental income, and dividends do not count. Your contribution for the year can never exceed your earned income, so if you earned $4,000, that’s your ceiling regardless of the IRS limit.
Resident aliens with ITINs are the most common group opening these accounts. You live in the United States, earn income here, and file a standard Form 1040. The Roth rules apply to you exactly as they apply to a citizen.
Non-resident aliens have a harder road. If you work in the U.S. and earn income effectively connected with a U.S. trade or business, you could technically qualify, but you file Form 1040-NR rather than the standard 1040, and many brokerages won’t open retirement accounts for non-resident filers. If you’re in this situation, confirm with a tax professional that your income qualifies before you start calling custodians.
Spousal Contributions
If you hold an ITIN but don’t have earned income of your own, a spousal IRA may still be an option. When you file jointly and your spouse has earned income, the IRS allows contributions to your IRA based on your spouse’s compensation. Each spouse can contribute up to the full annual limit, as long as combined contributions don’t exceed the total earned income on the joint return.2Internal Revenue Service. Retirement Topics – IRA Contribution Limits
2026 Contribution Limits and Income Phase-Outs
For 2026, the annual contribution cap is $7,500 for anyone under age 50. If you’re 50 or older, you can add an extra $1,100 in catch-up contributions, bringing your total to $8,600.3Internal Revenue Service. 401(k) Limit Increases to $24,500 for 2026, IRA Limit Increases to $7,500
Your ability to contribute shrinks as your modified adjusted gross income crosses certain thresholds:
- Single or head of household: phase-out begins at $153,000 and ends at $168,000.
- Married filing jointly: phase-out begins at $242,000 and ends at $252,000.
Inside the phase-out range, you can still contribute a reduced amount. Above the upper limit, direct Roth IRA contributions aren’t permitted.3Internal Revenue Service. 401(k) Limit Increases to $24,500 for 2026, IRA Limit Increases to $7,500
Finding a Brokerage That Accepts ITINs
This is where most of the difficulty lives. Many major brokerages only accept Social Security Numbers for retirement accounts, and their websites rarely spell out their ITIN policy. Expect to call each firm and ask directly.
Some larger firms, including Fidelity and Charles Schwab, have been reported to accept ITINs for certain account types, though policies shift and individual representatives are not always familiar with the process. Smaller custodians that specialize in serving immigrant communities sometimes offer a smoother experience. Ask specifically about Roth IRAs, not just brokerage accounts, because a firm may accept ITINs for a taxable account but not for a retirement account.
If the first representative says no, ask to be transferred to the new accounts or compliance department. Frontline staff don’t always know the full menu of accounts the firm supports. Reaching the right desk can be the difference between a dead end and an open account.
Documents You’ll Need
Federal banking regulations require every financial institution to verify your identity before opening an account. The Customer Identification Program rule specifically lists ITINs among the acceptable taxpayer identification numbers custodians can collect.4eCFR. 31 CFR 1020.220 – Customer Identification Program In practice, most brokerages will ask for:
- Your ITIN assignment letter (Notice CP565), the IRS document confirming the number is yours.
- A valid, unexpired passport. If yours has lapsed, renew it before you apply.
- A secondary photo ID, such as a U.S. driver’s license or state ID. Some firms accept a foreign driver’s license.
- Proof of U.S. address, such as a utility bill, bank statement, or lease.
Check that your legal name is spelled identically across every document. A small mismatch between your passport and your CP565 letter can trigger a compliance rejection.
How the Application Works
Most brokerages route ITIN applications through a paper process rather than the standard online portal. You print, complete, and sign the account application, then mail it with copies of your identification. Where the form asks for a Social Security Number, enter your nine-digit ITIN.
Some firms require that document copies be certified by a notary public. Notary fees vary by state but are generally modest. After the custodian receives your package, their compliance team reviews it, sometimes including a follow-up phone call to confirm your personal details.
Account activation typically takes one to three weeks after compliance signs off. Once the account is active, you can fund it by mailing a check or initiating a bank transfer. Keep your mailing receipt or tracking number until you’ve confirmed the account is open and your first contribution has posted.
Keep Your ITIN Active
An ITIN that isn’t used on a federal tax return for three consecutive years expires automatically on December 31 of that third year.5Internal Revenue Service. Topic No. 857, Individual Taxpayer Identification Number (ITIN) If your ITIN expires, your brokerage’s records fall out of sync with the IRS, which can freeze contributions or trigger unnecessary withholding on distributions.
The fix is straightforward: file a federal tax return at least once every three years using your ITIN. If it has already expired, renew it by submitting Form W-7 with the required supporting documents.6Internal Revenue Service. How to Apply for an ITIN Renewal takes about seven weeks outside of tax season and up to eleven weeks between January and April.
When You Later Get a Social Security Number
Many ITIN holders eventually qualify for an SSN through a change in immigration status or work authorization. Once you receive one, notify the IRS so they can merge your tax records. The IRS will void your ITIN and associate all prior tax filings and retirement account activity with your new SSN.7Internal Revenue Service. Individual Taxpayer Identification Number (ITIN)
To request the merge, write a letter to the IRS that includes your full name, mailing address, ITIN, a copy of your CP565 assignment notice if available, and a copy of your new Social Security card. Mail it to the IRS processing center in Austin, TX. If you skip this step, the IRS may not credit wages and withholding from your ITIN years, which can reduce future refunds and create discrepancies in your retirement account records.7Internal Revenue Service. Individual Taxpayer Identification Number (ITIN)
Notify your brokerage separately and update the taxpayer identification number on your Roth IRA from the ITIN to the SSN. Most firms have a form for this. Do it promptly so that future contribution and distribution filings match the number the IRS now has on file for you.
Withdrawal Rules
The withdrawal rules work the same for ITIN holders as for anyone else, with one added consideration if you’re a non-resident alien when you take a distribution.
You can pull out your contributions at any time, tax-free and penalty-free. That money was already taxed before it went in, and contributions always come out first. Earnings follow stricter rules. To withdraw earnings tax-free and penalty-free, two conditions must both be met:
- At least five years must have passed since January 1 of the tax year you first contributed to any Roth IRA.
- You must be at least 59½, disabled, using up to $10,000 for a first home purchase, or the distribution must go to a beneficiary after your death.
Withdraw earnings before meeting both conditions and you’ll owe income tax on the earnings plus a 10% early withdrawal penalty in most cases.8Internal Revenue Service. Roth IRAs
Non-Resident Alien Withholding
If you’ve left the United States and are classified as a non-resident alien when you take a distribution, the taxable portion is generally subject to a flat 30% federal withholding rate.9Internal Revenue Service. NRA Withholding A tax treaty between the U.S. and your country of residence may reduce or eliminate that rate. Your custodian will ask you to complete Form W-8BEN to claim any treaty benefits before processing the distribution.
Excess Contribution Penalties
Contributing more than your allowed limit, or contributing when you don’t have qualifying earned income, triggers a 6% penalty on the excess amount. The penalty applies every year the excess stays in the account, not just once. This trap catches ITIN holders whose income fluctuates or who misunderstand which income types count as earned.
Catch the error before the tax-filing deadline (including extensions) and you can withdraw the excess and any earnings it generated to avoid the penalty. After the deadline, the 6% penalty locks in for that year, and you’ll need to either withdraw the excess or absorb it into the next year’s contribution limit if you have room.
Before making your annual contribution, confirm that your earned income for the year will at least equal what you plan to put in, and that your modified adjusted gross income sits below the phase-out ceiling.