original roth contribution vs. roth conversion
I have a Roth IRA account that has been established for over 5 years that I have been funding every year. If I want to take my traditional IRA and convert it to a Roth, will I have to wait an additional 5 years to access the earnings tax free or have I already satisfied that requirement? This assumes that I am over age 59 1/2. Thanks!
Permalink Submitted by Alan - IRA critic on Wed, 2016-04-06 18:28
Since the Roth IRA is already fully qualified, any conversions you do are immediately fully qualified as well. There are no new 5 year holding periods, and the entire account could be distributed tax and penalty free including earnings at any time.