Free-form RPG was introduced with release V5R1 in 2001. Until this time, RPG was solely based on the fixed column format originally required by the punched card machines in the 1960s. With the availability of free format RPG, developers were no longer limited by the fixed columns of earlier versions.

Switching to free-form RPG will give numerous advantages but the primary benefit of switching will be programs which are easier to read and maintain. Free-form RPG will allow indentation of logic, more meaningful field names and better placement of comments.

Looking further ahead, the use of free-form RPG will make it easier for developers to switch between RPG and other modern languages such as Java and Visual Basic.