I am 40 years old, and my Roth IRA account has been open for 6 years, funded close to the yearly maximum (est. $5000x6=$30,000 of contributions+ separate amount of earnings). One month ago, I rolled over my Roth 403 b account (est. $25,000) from the previous employer into my Roth IRA account. If I need to withdraw more than $30,000 from my Roth IRA to cover home buying expenses within a couple of months, I wonder whether the rolled over $25,000 would be considered as my contribution and tax- and penalty-free for withdrawal.
As the rollover consists of my contributions AND earnings made while they were in my Roth 403 b, I'm a bit confused if the 5 year rule (earnings can be distributed without penalty and tax after 5 years) applies to the portion of the rollover amount, i.e. my earnings within it. If this is the case, does the clock reset as of the last month when I made a rollover, or would it become part of my Roth IRA of 6 years old, which fulfills the 5 year rule?
Or would $25,000 (contributions+earnings all together from the old Roth 403 b) be considered as my contribution in the Roth IRA and can be withdrawn at any time just like my regular, yearly contributions tax- and penalty-free, which makes the above questions irrelevant?
Many thanks in advance.
