Roth IRA Withdrawals

For a 55 year old who has had a Roth IRA for 20 years, can they withdraw both principal and appreciation and leave a zero balance without incurring any taxes or penalties?

Bob S.



No. The Roth IRA will not be qualified until age 59.5 or disability. Until that time, contribution and conversions (but not earnings) can be withdrawn without tax. But taxable conversions done in the last 5 years will be subject to 10% penalty until age 59.5.

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