Answer:
It does not really have any effect on the money.
Step-by-step explanation:
Aassuming you only withdraw the contributions and not the earnings.
Roth IRAs are funded with after-tax dollars, which means that the contributions you make to the account have already been taxed. Since you've already paid taxes on the contributions, you can generally withdraw them at any time without incurring additional taxes or penalties. This is because you've already paid taxes on that money.
However, if you withdraw any earnings on your contributions (the investment gains your contributions have generated), there may be tax and penalty implications. To avoid taxes and penalties on the earnings, you generally need to meet certain requirements, such as being at least 59½ years old and having held the Roth IRA for at least five years.
It's important to note that when you withdraw contributions from a Roth IRA, you lose the potential for future tax-free growth on that amount. The withdrawn contributions cannot be re-contributed to the Roth IRA later, except in specific circumstances such as a rollover within 60 days