Finance
Roth IRA Calculator
Project your Roth IRA balance at retirement and compare it against a traditional IRA. Uses 2026 IRS contribution limits ($7,500 under 50, $8,600 with catch-up) and shows your tax-free advantage.
Your Roth IRA plan
Tax-free Roth balance at retirement (35 years)
$1,074,424
Traditional IRA equivalent after tax: $838,051
Total contributions
$255,000
Investment growth
$819,424
Tax savings vs traditional
$236,373
Frequently Asked Questions about the Roth IRA Calculator
What are the 2026 Roth IRA contribution limits?
For 2026, the IRS lets you contribute up to $7,500 to a Roth IRA if you are under 50, and up to $8,600 if you are 50 or older thanks to the $1,100 catch-up provision. The limit applies across all your IRAs combined (Roth and Traditional), not per account. You can contribute the full amount only if your earned income for the year is at least equal to the contribution, and contributions for a tax year can be made up to the April tax deadline of the following year.
Roth or Traditional IRA: which one wins?
It comes down to whether your tax rate is higher now or in retirement. A Roth wins if your retirement tax rate is the same or higher than today, because you pay tax on the seed (contributions) instead of the harvest (much larger ending balance). A Traditional wins if your retirement rate is meaningfully lower. The break-even point is when current and retirement tax rates are identical: both produce the same after-tax balance, but the Roth removes future tax uncertainty entirely.
Are there income limits for Roth IRA contributions?
Yes. For 2026, the ability to contribute starts phasing out at a modified adjusted gross income (MAGI) of $150,000 for single filers and ends at $165,000. For married couples filing jointly, the phase-out runs from $236,000 to $246,000. Above the top of each range you cannot contribute directly. High earners often use the backdoor Roth conversion strategy, which is not subject to the income limit but has its own tax considerations around the pro-rata rule.
What happens if I withdraw from my Roth IRA early?
You can withdraw your contributions (the money you put in) at any age, for any reason, with zero tax and zero penalty, because that money was already taxed. Earnings are different: withdrawing earnings before age 59 1/2 and before the account has been open at least five years triggers ordinary income tax plus a 10 percent early-withdrawal penalty. The IRS has exceptions for first-time home purchases (up to $10,000), qualified education expenses, and certain medical or disability situations.
Why does tax-free withdrawal in retirement matter so much?
Every dollar in a Traditional IRA is shared with the IRS at your future tax rate, which is unknown when you contribute. A $1 million Roth at retirement is $1 million you can spend; a $1 million Traditional at a 24 percent retirement rate is $760,000. The tax-free nature also keeps Roth distributions from inflating your Social Security taxation or pushing you into a higher Medicare IRMAA bracket, and Roth IRAs have no lifetime Required Minimum Distributions for the original owner.