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Traditional IRA vs. Roth IRA Calculator

Compare the after-tax outcome of contributing pre-tax dollars to a traditional IRA versus a Roth IRA.

After-tax differenceTrad. +$27,589

Understanding this calculator

Strip away the noise and the traditional-vs-Roth choice is mostly a bet on tax rates: pay tax at today's rate (Roth) or at your future retirement rate (traditional). If the rates were identical, the math ties exactly — what matters is the difference between them.

The honest comparison starts with the same pre-tax dollars going toward retirement either way, which is how this calculator works. Real life adds wrinkles the math can't settle: Roth money has no RMDs, is friendlier to heirs, and gives tax-free flexibility; traditional contributions help more when the deduction keeps other income out of high brackets. Many savers reasonably hold both.

Assumptions and methodology

  • Both options direct the same annual pre-tax amount toward retirement, growing at the same return over the same years.
  • Traditional: the full amount is invested; the ending balance is taxed once at your retirement marginal rate.
  • Roth: tax is paid up front at your current marginal rate; the after-tax amount grows tax-free.
  • Contribution limits, income-based deduction/contribution phase-outs, state taxes, and RMD effects are not modeled.

Last reviewed August 30, 2026. Year-specific figures show their tax or data year in the tool; data is reviewed when the IRS, SSA, and CMS publish annual updates.

Common questions

Which one wins?

Lower expected retirement rate → traditional tends to win. Higher expected retirement rate → Roth tends to win. Same rate → mathematically a tie, and the tiebreakers (RMDs, flexibility, estate plans) favor Roth for many people.

What are the 2026 IRA limits?

$7,500, plus a $1,100 catch-up if you're 50 or older (IRS, 2026). High incomes can limit Roth contributions or traditional deductibility — check current IRS rules.