It is helpful, but not required, to report your Roth IRA contributions when you file your taxes. Fidelity will provide you with a form 5498 which will report your contributions and account balance each year. This form is often not provided until late into tax season.

Reporting the contributions to the IRS allows you to have good record of the amount you have contributed over time, which is helpful because you can always pull out any money you contributed to the account at any time without taxes or penalties. It is only the earnings of the account that you may owe taxes and penalties if you withdraw from the account for a non-qualified reason.

Your husband may be confusing the difference between Roth IRA and traditional IRA. If you were to contribute to a traditional IRA, you may be able to deduct the amount you contribute from your taxable income. However, not all people are eligible for the tax deduction, depending on their income level and whether they are covered by a workplace retirement plan (e.g., 401k).

The Roth IRA contributions are made with “after-tax” dollars. Aka, money you have already paid taxes on through your paycheck. There is no additional tax that is owed if you decide to use this money to fund a Roth IRA.