Open a calculator
Retirement & Planning

Roth IRA vs. Traditional IRA Calculator

Use this calculator to determine which IRA may be right for you.

Inputs
$
%
%
%

Estimates only. Adjust any value to recalculate instantly.

Results
Better after-tax outcome Traditional IRA by $19,949 for the same out-of-pocket cost
Roth (tax-free) $758,048
Traditional (pre-tax) $997,431
Traditional (after-tax) $777,996
Difference $19,949
After-tax retirement value
After-tax retirement value Roth: $758kTraditional (after tax): $778k
  • Roth $758k
  • Traditional (after tax) $778k
After-tax value Roth (tax-free)Traditional (after tax)
After-tax value: Roth (tax-free) vs Traditional (after tax) $1.5M$1.2M$768k$384k$0 Yr 1Yr 6Yr 11Yr 16Yr 21Yr 26

For the same out-of-pocket cost, the Roth wins when your retirement tax rate (22%) is above today's (24%): a deductible traditional contribution starts larger but is taxed on withdrawal. If your rate falls in retirement, the traditional pulls ahead.

After-tax value by yearView table
YearRoth (tax-free)Traditional (after-tax)
1$8,025$8,236
2$16,612$17,049
3$25,800$26,479
4$35,631$36,568
5$46,150$47,364
6$57,405$58,916
7$69,449$71,276
8$82,335$84,502
9$96,123$98,653
10$110,877$113,795
11$126,663$129,997
12$143,555$147,333
13$161,629$165,882
14$180,968$185,730
15$201,660$206,967
16$223,802$229,691
17$247,493$254,006
18$272,842$280,022
19$299,966$307,860
20$328,989$337,646
21$360,043$369,518
22$393,271$403,620
23$428,825$440,110
24$466,868$479,154
25$507,574$520,931
26$551,129$565,632
27$597,733$613,462
28$647,599$664,641
29$700,956$719,402
30$758,048$777,996

How the roth ira vs. traditional ira calculator works

It projects equal contributions in both accounts to retirement, leaves the Roth untaxed, and taxes the traditional balance at your expected retirement rate. Comparing the after-tax results shows which account leaves you with more spendable money.

Worked example

Worked example: with annual contribution of $7,500, years until retirement of 30 and annual return of 7.00%, the roth ira vs traditional ira calculator shows better after-tax outcome of Traditional IRA.

Roth (tax-free)
$758,048
Traditional (pre-tax)
$997,431
Traditional (after-tax)
$777,996
Difference
$19,949
After-tax value: Roth IRA vs Traditional IRA
Tax rate in retirementRoth IRATraditional IRA
14.00% $758,048 $857,791
22.00% $758,048 $777,996
26.00% $758,048 $738,099
34.00% $758,048 $658,305

The better choice flips around 26.00% — Roth IRA wins on one side, Traditional IRA on the other.

The formula

Both grow as (balance + contribution) × (1 + return). Roth after-tax = balance. Traditional after-tax = balance × (1 − retirement tax rate).

Results are estimates for educational purposes and are not financial advice. Confirm exact figures with your lender, plan administrator or advisor.

Embed this calculator — free Get the code

Add the live roth ira vs. traditional ira calculator to your own site. Free to use — just keep the credit link. It resizes itself automatically.

By embedding you agree to keep the visible attribution link to FinCalculators.net. See all embeddable calculators →

Frequently asked

Questions about the roth ira vs. traditional ira calculator

Should I choose a Roth or traditional IRA?

Roth wins if your tax rate in retirement is the same or higher than today; traditional can win if your rate will be lower and you invest the upfront deduction. The calculator compares after-tax outcomes.

What is the key difference between them?

A Roth is funded with after-tax money and withdrawn tax-free; a traditional IRA is funded pre-tax and taxed on withdrawal. The bet is on your future tax rate.

Can I contribute to both?

Yes, as long as your total stays within the annual IRA limit. Splitting contributions hedges your bet on future tax rates.

Is the Roth IRA vs. Traditional IRA Calculator free to use?

Yes. Every calculator on FinCalculators is completely free, with no sign-up, login or paywall. You can run as many scenarios as you like.

Reference data
Related calculators
401(k) Calculator A 401(k) can be one of your best tools for creating a secure retirement. Use this calculator to see why this is a retirement savings plan you cannot afford to pass up. 401(k) Contribution Effects on Your Paycheck Calculator Use this calculator to see how increasing your contributions to a 401(k) plan can affect your paycheck as well as your retirement. 401(k) Savings with Profit Sharing Use this calculator to show how a 401(k) with profit sharing plan can help you save for retirement.. 401(k) Spend It or Save It Calculator There are several ways to manage your 401(k) when you leave an employer. Making the wrong decision can cost you thousands of dollars both in taxes and lost earnings. 403(b) Savings Calculator If you are an employee of a non-profit tax-exempt organization, a 403(b) can be one of your best tools for creating a secure retirement. 457 Plan Contribution Effects on Your Paycheck Calculator Use this calculator to see how increasing your contributions to a 457 plan can affect your paycheck as well as your retirement.