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URL:  http://boards.fool.com/2if-i-start-a-roth-ira-ac-now-is-it-correct-25992128.aspx

Subject:  Re: Contribution Withdrawal for Roth IRA Date:  10/14/2007  12:57 AM
Author:  TMFPMarti Number:  59676 of 86157

2)If I start a Roth IRA A/C now, is it correct that I can withdraw my contribution 5 years from now without penalty?

3)Is the withdrawal only limited to the contribution that is 5 years old or I can withdraw all the contribution that I have done to than A/C?


You can withdraw a Roth contribution in 5 minutes without tax or penalty.

Distributions from a Roth are either "qualified" as defined in IRS Publication 590 or "nonqualified." Qualified distributions are not taxed and are never subject to a penalty.

There are ordering rules for the sequential treatment of nonqualified distributions:

1. Contributions: no tax or penalty
2. Conversions: no tax; maybe penalty
3. Earnings: tax and penalty

Phil
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