Thoughts on fellowship/stipend

3bm103
Fri, 17 Feb 2012 09:42:40 +0000

I agree that the only place to put the stipend is on line 7 and that does not qualify as earned income for the purposes of an IRA contribution.

The temporary housing expense is another question. It could theoretically be deducted as miscellaneous itemized deductions but would be limited to the amount over 2% of his AGI. At $1200 a week for 12 weeks, that comes to $14,400. Unless he has a really high AGI, that should be enough to itemize all on its own. He’d also have state income tax to add in.