Just to clarify, dancingblonde, that applies onlyÂ

Just to clarify, dancingblonde, that applies only to any Roth IRA account earnings.  Distributions of one's contributions are 100% tax free at ANY time, since it's after tax money to begin with.

IOW, I invest $1000 and it grows to $1500.  I can take out up to my original $1000 with no tax penalty at any time.  The $500 in earnings is handled as per your statement, but it's got to be at least the 5 years.  59.5 or 5 years, whichever is longer.  Then it's ALL tax free :-)

http://www.irs.gov/Retirement-Plans/Roth-IRAs