Quote:
Originally Posted by lewdog
Wanna know how many here use their Roth also as an emergency savings vehicle like this article suggests since contributions can be withdrawn tax/penalty free? I see this posted a lot lately and it makes sense for many I would think after you have a savings account emergency fund but still wanna have an option to stay relatively liquid without parking in a savings account and getting nothing. Any of you do this? What kind of funds do you use?
https://blog.mint.com/saving/does-us...d-idea-052012/ |
I don't believe you can withdraw contributions penalty free, as any withdrawal from a Roth is a distribution. So if not a qualified distribution, it would be subject to the 10% penalty, though not taxes unless you got through all your contributions.
https://www.irs.gov/publications/p59...link1000231061