A Roth IRA is an account or annuity set up in the United States solely for the benefit of you or your beneficiaries. It is an individual retirement arrangement. A Roth IRA differs from traditional IRAs in that contributions are not deductible when made.  

Profits accumulate in a Roth IRA tax free.

If you satisfy the requirements, qualified distributions are tax free and penalty free.

• As a general matter, to make a qualified distribution, you have to be at least age 59 l/2 and wait 5 years from the day you opened the Roth IRA to take a qualified distribution. 
• When you convert a traditional IRA to a Roth IRA, you have to wait at least 5 years from the first day of the tax year in which you made the conversion to take a qualified distribution.

Contributions can be made to your Roth IRA regardless of your age.

You can leave amounts in your Roth IRA as long as you live. There are no distribution requirements with a Roth IRA.

NOTE: Individuals with more than $100,000 in annual income (and couples with more than $176,000) are able to roll over their money from traditional IRAs into Roth Accounts. This allows a contribution greatly above the usual annual limits. The money rolled into the Roth IRA will be subject to ordinary income tax if it has not been taxed before.

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