An integrated circuit with a self-aligned contact includes a substrate with a transistor formed thereover, a dielectric spacer, a protection barrier, and a conductive layer. The transistor includes a mask layer and a pair of insulating spacers formed on opposite sides of the mask layer. The dielectric spacer partially covers at least one of the insulating spacers of the transistor. The protection barrier is formed over the dielectric spacer. The conductive layer is formed over the mask layer, the protection barrier, the dielectric spacer, the insulating spacer and the dielectric spacer as a self-aligned contact for contacting a source/drain region of the transistor.