A record number of Americans are funding Roth IRAs — here’s how to open one

More Americans are saving for retirement through individual retirement accounts than ever before. New data from Fidelity shows IRA contributions surged 29% year over year in the first quarter of 2026, while the number of account holders actively contributing reached a record high — up 28% from the same period last year.

The gains were largely driven by strong interest in Roth IRAs, which accounted for 67% of all contributions. Meanwhile, conversions to Roth accounts climbed 41% year over year.

This growing interest in Roth IRAs certainly makes sense. Since contributions are made with after-tax dollars, investments in a Roth IRA can grow tax-free, and qualified withdrawals in retirement are also tax-free. Meanwhile, savers can withdraw their original contributions (not investment earnings) at any time without taxes or penalties, which offers added flexibility in an uncertain economy.

Here’s how to jump on the Roth IRA bandwagon.

To contribute to a Roth IRA, you need earned income, which means wages, salary or self-employment income. For 2026, single filers and heads of household can make a full contribution if their Modified Adjusted Gross Income (MAGI) falls below $153,000, with the ability to contribute phasing out between $153,000 and $168,000. Married couples filing jointly phase out between $242,000 and $252,000.

If your household income exceeds these limits, you still have the backdoor Roth IRA route, which lets you contribute indirectly by converting money from a traditional IRA.

Choose a brokerage

Many of the big-name brokerages offer Roth IRAs, such as Charles Schwab and Fidelity. You can also find them at robo-advisors like Betterment and Wealthfront. Online brokerages like Ally offer Roth IRAs, too.

Opening an account online should take only about 10 to 15 minutes. You’ll need your Social Security number, a government-issued ID and a bank account to fund it.

Know how much you can contribute

The IRA contribution limit in 2026 (which includes traditional and Roth IRAs) is $7,500 total if you’re under age 50, or $8,600 if you’re 50 or older. The deadline to contribute for a given tax year is April 15 of the following year, so you’re not on a strict calendar-year deadline.

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