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You should not have to pay any tax on a Roth contribution, since you already paid taxes on that money. If you withdraw prior to 59 1/2, you must have held the Roth for 5 years, or you will pay tax on the earnings. Their are exceptions for college expenses and first time home buying, I believe. Taking a distribution and paying a 10% penalty means you'll have to do at least 11% on your stock investment just to get back to even. Look at rolling over your money into a Roth at a brokerage account (TD Ameritrade, Schwab, etc.). Then you can invest it in stocks and not pay an early withdrawal penalty.
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