Roth IRA calculator

Compare a Roth and a traditional IRA using your tax rate today and your expected rate in retirement.

After-tax value over time

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Roth vs traditional: the key idea

With a Roth IRA you pay tax now and withdraw tax-free later. With a traditional IRA you may get a deduction now and pay tax when you withdraw. This calculator compares them using the same pre-tax dollars, so the main question is whether your tax rate now is higher or lower than in retirement.

Rule of thumb

If you expect a higher tax rate in retirement, Roth tends to win. If you expect a lower rate, traditional tends to win. If the rates are equal, the results are about the same.

Frequently asked questions

What are the contribution limits?

The IRS sets annual limits and income rules for Roth IRAs and changes them over time, so check irs.gov for the current figures.

Does this cover employer 401(k) plans?

The math is similar for Roth and traditional 401(k)s, but plan rules differ. Check your plan details.

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