Roth conversion five-year rule
There are two different five-year tests. One helps determine whether a Roth IRA distribution is qualified; the other concerns additional tax on certain early withdrawals of converted principal.
Last reviewed Methods and sources
Ask which five-year test applies
The qualified-distribution clock begins with the first tax year for which a contribution was made to a Roth IRA for the owner. Five years alone are insufficient: an age or other qualifying condition must also apply.
The conversion clock begins with each conversion tax year. It helps determine whether previously taxable converted principal can trigger the 10% additional early-distribution tax, unless an exception applies.
Both rules come from IRS Publication 590-B, chapter 2. This page addresses an owner’s Roth IRA, not designated Roth employer-plan accounts or inherited accounts.
- First contribution for 2021
- Five-year clock met Jan 1, 2026
- Separate 2026 conversion
- Its period ends Jan 1, 2031
Qualified distributions also require age 59½ or another qualifying event. A conversion clock concerns additional early-distribution tax.
The two tests, side by side
| Question | Qualified-distribution test | Conversion test |
|---|---|---|
| When does it begin? | First contribution tax year | Each conversion tax year |
| Does a later conversion reset it? | No | That conversion has its own period |
| What else matters? | Age 59½ or another qualifying event | Age, exceptions and distribution ordering |
| What does it address? | Whether the distribution is qualified | Additional tax on certain converted amounts |
The qualified conditions include age 59½ and specified disability, beneficiary and first-home circumstances described by the IRS. Those alternatives have their own requirements; this page does not determine eligibility for them.
Age 60 does not erase the first clock
Assume an owner’s first Roth IRA contribution was for 2024 and the owner is age 60 in 2026. The age condition is met, but the five-tax-year period runs through 2028. January 1, 2029 is the first date after that period for this calendar-year example. An earlier earnings withdrawal is not qualified solely because the owner is over 59½.
Work through the withdrawal order
For nonqualified Roth IRA distributions, regular contributions come first. Conversions and applicable rollovers come next, earliest year first. Within that year, the taxable portion comes before the nontaxable portion. Earnings come last.
Consider the hypothetical balances in this diagram, with one 2026 conversion and no earlier distributions. A $5,000 withdrawal uses $3,000 of regular contributions, then $2,000 of the taxable converted portion.
If taken before that conversion’s period ends, while the owner is under 59½ and no exception applies, that $2,000 produces $200 of additional tax: $2,000 × 10%. It is not a second ordinary income tax on the already-taxed converted principal.
- 1. Regular contributions
- $3,000
- 2. Conversion: taxable portion
- $12,000
- 3. Same conversion: nontaxable portion
- $3,000
- 4. Earnings
- $2,000
Example with one conversion. Multiple conversions follow first-in, first-out order across Roth IRAs.
Tax years are different from anniversaries
For a calendar-year taxpayer, a conversion during 2026 starts its period on January 1, 2026. The five tax years are 2026, 2027, 2028, 2029 and 2030; the first date afterward is January 1, 2031. A December conversion does not require waiting until its December fifth anniversary.
A valid regular contribution made for a prior tax year can establish the qualified-distribution clock in that earlier year. A conversion done at the same time uses the conversion year. This is why “five years after opening the account” is an incomplete instruction.
Separate records, aggregated accounts
The IRS aggregates the owner’s Roth IRAs for these ordering rules. Keep the contribution and conversion history across accounts, including taxable versus nontaxable conversion amounts and previous withdrawals. The custodian account selected for a transfer does not, by itself, identify the tax category distributed.
A conversion ladder relies on separately aged conversion years, but it still follows this ordering. Use the conversion calculator for a simplified tax scenario; it cannot establish whether a particular withdrawal is qualified or exempt.
Source and review date
Reviewed : IRS Publication 590-B (2025), chapter 2, “What Are Qualified Distributions?”, “Additional Tax on Early Distributions,” “Ordering Rules for Distributions” and “Aggregation (grouping and adding) rules.” The publication page was updated April 30, 2026 and identifies the 2025-return edition.
Dates and balances are hypothetical examples derived from those published rules. Exceptions and individual records can change a real result. Educational information, not personal tax advice.
Questions and answers
Does every Roth conversion start a new five-year period?
Each conversion or applicable rollover has a separate five-tax-year period for the additional early-distribution-tax test. It does not restart the owner’s separate qualified-distribution clock.
What changes at age 59½?
Reaching age 59½ is an exception to the additional early-distribution tax. It does not itself complete the separate five-year qualified-distribution condition for Roth IRA earnings.
Does opening another Roth IRA give me a new withdrawal order?
No. Publication 590-B applies aggregation rules to the owner’s Roth IRAs. Separate accounts do not create a free choice to withdraw earnings or one conversion ahead of categories that must come first.
Can a prior-year contribution and a current-year conversion start in different years?
Yes. The qualified-distribution clock can begin with the tax year of a valid prior-year contribution. The conversion period starts with the conversion tax year. The two dates need not be the same, even when the transactions occur on the same day.