penalties for roth ira early withdrawal?

Probably $-0-

Contributions can always be taken out of a Roth Tax and Penalty free. So, assuming that you have invested more that $150, you shouldn't have to pay any taxes or penalties.

you pay 10% penalty plus it becomes part of your taxable income, so if you are in a 15% tax bracket you would pay 10% penalty plus 15% tax for a total of 25%. Its higher if you are in a higher tax bracket.

Its not wise to take money out of your ROTH. If you only need $150 you should look for other ways to get the money. Heck, you could probably sell something like an Xbox 360 at a big discount through the classified ads, then buy another one when you have the money again and it would cost less than a ROTH IRA withdrawal.

The first poster, Wayne, is correct in spite of the 3 thumbs down. There are a lot of ignorant people out there.

With a Roth IRA you can withdraw any monies you have put into it without penalty or taxation. You can not withdraw interest or appreciation early without paying penalties and income taxes depending on certain limitations. The devil is in the details. Check out the article below for more info.

Before you invest in a ROTH. - Do you have 6 months worth of living expenses in a savings account or brokerage? - Do you have your cars paid off? - Are you putting the max into the 401K? - If you will need a new car soon, do you have the money to buy it for cash? - Are all your credit cards paid off completely. Opening a ROTH is a very smart decision. But you NEED to be financially stable before taking that step. The penalties are not bad since you already took out taxes on it. 10% if within 5 years /

You want to withdraw $150.00?

What possibly could you need to take money out of your future retirement that you could not get else where - such as from a job?

It does not matter what state you are in except for state income taxes.

If you take out $150.00 there will be a 10% penalty if you are under 59 1/2, thus $15.00

Then add $150.00 to your income this year. You will have to pay federal income tax and whatever state income tax is.

Even though this is not a lot of money to take out, the problem is that you will be more tempted to take out more again in the future.

Best not to touch retirement account except when buying a first home.

Ask your banker. I withdrew some of my retirement once when I was in-between jobs and before they would let me, the banker went over all the penalties and made me sign a waiver saying she had explained them to me. While your banker may not be quite this thorough, they will know for certain.

Wayne Z is correct. Roth is treated different than a traditional IRA.