The 5-Year Rule is a timing guideline that applies to certain retirement accounts, especially Roth accounts, and determines when you can take money out without taxes or penalties. There are actually a few different 5-year rules, but the most common one says that you must wait at least five years after making your first Roth contribution—or after converting money to a Roth—before you can withdraw earnings tax-free. This rule works alongside other requirements, like age or reason for the withdrawal, and is designed to prevent people from using retirement accounts just to get quick tax-free growth. Understanding the 5-Year Rule helps make sure your withdrawals stay tax-efficient and penalty-free.