Think about making a contribution to a Roth IRA for a working child. The 2016 limit $5,500, but the amount can't exceed the child's 2016 earnings. The payin counts toward the gift tax exclusion, but there are key benefits to Roths. Payins can be pulled out tax-free at any time. Withdrawals after age 59 1/2 aren't taxed. And up to $10,000 of earnings can be taken out free of tax to help buy a first home.