ROTH IRA Distribution
Client is age is 61 and she started converting monies into a ROTH in September 2019.
Client is being told by their accountant that she must wait 5 years before she can touch her ROTH IRA.
I am convinced that she can take out her contributions at least without incurring taxes or penalties.
Who is right?
Permalink Submitted by Alan - IRA critic on Thu, 2023-08-24 18:57
You are correct. Client’s Roth IRA will be qualified starting in 2024, and therefore completely tax free. Before 2024, the balance of Roth IRA contributions and conversions can be distributed tax and penalty free, but not earnings until 2024.