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Thanks AJ and foo1bar,

This is how I thought it worked. The best part is that I don't have to figure out which dollar is principle and which one is earnings.

For example all of ROTH is invested in many stocks. I sell one stock to have free cash in ROTH then withdraw that cash. I can remove cash without penalty. I do not need to know if that one stock sold was profitable or not. That would have been a pain.
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