Roth vs Traditional IRA Calculator

Compare the after-tax retirement value of Roth and Traditional IRA contributions with the same yearly amount.

Current age

Retirement age

Yearly contribution

Annual return (%)

Current marginal tax rate (%)

Retirement marginal tax rate (%)

Roth after-tax value

$0.00

Comparison breakdown

Note: this comparison uses the same yearly contribution for both accounts. A Traditional IRA also saves tax in the year you contribute. If you invest that yearly tax saving separately, the Traditional result would be higher than shown here.

How this calculator works

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Results are estimates for education only and are not financial advice.

Roth vs Traditional formula

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How the comparison is calculated, step by step

Subtract the current age from the retirement age to get the number of contribution years.
Grow the yearly contribution with the annuity future value formula to get the value at retirement before tax.
Keep the full value for the Roth account, since qualified withdrawals are tax free.
Multiply the value by one minus the retirement tax rate for the Traditional account, then subtract to get the difference.

Worked example

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Does my current tax rate change the Roth result?

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When does a Traditional IRA win?

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Are there limits on how much I can contribute?

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