Investing for a 13-Year-Old

At age 13, a teen may begin earning verifiable income from activities such as babysitting, lawn mowing, or farm work. Genuine earned income (not allowances or gifts) makes a custodial Roth IRA available; the contribution limit is the lesser of earned income or $7,000 (2026 limit). A 529 education account at 13 has a 5-year horizon to typical college entry. UGMA/UTMA accounts continue with high equity exposure on a 52-year retirement runway. The teens cluster guide covers accounts, priorities, and decisions specific to ages 13-17.

Full guide: Investing in the Teen Years | Teens cluster: accounts, priorities and decisions for ages 13-17