Roth IRA Calculator
The Roth IRA Calculator helps you project the tax-free growth of your Roth IRA retirement account. A Roth IRA is a retirement savings account where you contribute after-tax dollars, and all growth and withdrawals in retirement are completely tax-free. This calculator factors in your current age, annual contribution, expected return rate, and retirement age to show your projected Roth IRA balance. For 2026, the contribution limit is $7,000 ($8,000 if age 50+). Roth IRAs are particularly valuable if you expect to be in a higher tax bracket in retirement.
Formula
Future Value = PV × (1 + r)^n + PMT × [((1 + r)^n − 1) ÷ r] PV = current Roth IRA balance PMT = annual contribution (max $7,000) r = expected annual return n = years until retirement All withdrawals after age 59½ are tax-free.
Example
If you are 30, have $10,000 in your Roth IRA, contribute $7,000/year, expect 8% return, and retire at 65: Years = 35 FV = $10,000 × (1.08)^35 + $7,000 × [((1.08)^35 − 1) ÷ 0.08] FV = $10,000 × 14.79 + $7,000 × 172.32 FV = $147,900 + $1,206,240 = $1,354,140 All $1,354,140 is tax-free at withdrawal.
How to Use
- Enter your current age and Roth IRA balance
- Input your planned annual contribution (max $7,000 for 2026)
- Set your expected annual return rate (7-10% for stock-heavy portfolio)
- Enter your planned retirement age
- Review your projected tax-free retirement balance
Frequently Asked Questions
What is a Roth IRA?
A Roth IRA is a retirement account where you contribute after-tax money. Your investments grow tax-free, and qualified withdrawals in retirement are completely tax-free. This is different from a Traditional IRA, which gives you a tax deduction now but taxes withdrawals later.
What are the Roth IRA income limits for 2026?
For 2026, single filers can contribute the full amount with income under $146,000 (phases out at $161,000). Married couples can contribute fully under $230,000 (phases out at $240,000). High earners can use a Backdoor Roth IRA strategy.
What is the contribution limit for 2026?
The 2026 Roth IRA contribution limit is $7,000, or $8,000 if you are age 50 or older (catch-up contribution). This is the combined limit across all your IRA accounts (Traditional + Roth).
When can I withdraw from my Roth IRA?
You can withdraw your contributions (not earnings) at any time, tax-free and penalty-free. Earnings can be withdrawn tax-free after age 59½ AND if the account has been open for at least 5 years. This 5-year rule is important.
Should I choose Roth or Traditional IRA?
Choose Roth if you expect to be in a higher tax bracket in retirement (young, early career). Choose Traditional if you expect to be in a lower bracket in retirement (near retirement, high earner). If unsure, split contributions between both.