Roth IRA withdrawal question.?

Question

I've had my roth IRA little less than a year. There's about $350 in it. I need to withdraw $200. Is this advisable? What are the consequences?

Answer 1

If your contribution to the Roth IRA was at least $200, you can withdraw that amount and not pay income tax or penalties.

You will receive a 1099R from the financial institution.  You enter the date from the 1099R into your tax return, but you won't owe tax or penalties.

Answer 2

no, you are going to lose 10% in penalties

you can only withdraw your principle (penalty-free) after participating for at least 5 years

Answer 3

It is never advisable, but with a Roth you can withdraw your contibutions without penalty.  If you withdrawal any amount over that (earnings on your contributions), that becomes a taxable event.  If you are so strapped that you don't have $200 cash available, you need to concentrate on building up a savings "emergency fund" outside of your IRA first.