New Roth accoubt 1/16/23 and 72 years old. How long is the wait period for a withdrawal from New Roth Account.
Questions 1/16/23
Clarification on Roth and the 5 years wait period from initial opening a Roth
I am currentyly 72 and already have several Roth accounts that have met the 5 1/2 year wait period.
If I open a new Roth today (1/16/23) at age 72 – will i need to wait 5 years (until age 77) to make a income-tax free withdrawal on the new account even thought I have other established Roth accounts that have been in place for over 5 1/2 years. Or does the “59 1/2” age make me exempt on withdrawal before a (5 1/2 year period) on a new Roth opened 1/16/23 at age 72.
Thank you
Ms Fleming
Permalink Submitted by Alan - IRA critic on Mon, 2023-01-16 16:45
All your Roth accounts are treated as a single combined account for tax purposes. Since your first Roth contribution was over 5 years ago and you are over 59.5, your entire Roth IRA balance in all accounts is qualified and tax free. You can take tax free distributions anytime you wish from any of the accounts. You could also combine them by direct transfer into a single Roth IRA if you wanted to simplify your accounts.