By Dawn Anastasi, RPA Board Member

Note: RPA does not offer financial advice. All suggestions or ideas noted in this article should be discussed with a financial professional, such as a CPA or financial advisor.

Did your teenagers work for you this summer helping out with your rental properties? Do they help out during the year on weekends? If you pay them, consider allowing them to capitalize on the greatest money-making asset they have -- TIME.

“The greatest money-making asset any person can possess is time, and young people have more of it than anyone,” said Ed Slott, an IRA expert and certified public accountant.

Post-tax earned income can be used to make Roth IRA contributions. Roth IRA contributions can be withdrawn before retirement, tax and penalty free.

Eligibility to contribute to a Roth IRA also generally depends on how much you earn. Since workers may no longer qualify for Roth IRAs later in their careers when their incomes are higher, that also makes it advantageous to get started with these accounts early.

Read More in this Article

Keep in mind that self-directed Roth IRAs can also be used to invest in real estate or other assets outside of traditional stocks and bonds -- for example:

• Rental properties
• Notes secured by deeds of trust or mortgages
• Private equity-like stock of REITs