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Roth IRA Calculator

Calculate your Roth IRA balance at retirement, total tax-free growth, and see exactly how much more you earn compared to a taxable investment account.

Current Roth Balance ($)

Annual Contribution ($)

Current Age

Retirement Age

Expected Return (%)

Your Tax Rate (%)

How to Use the Roth IRA Calculator

1
Enter your current Roth IRA balance (use 0 if starting fresh), your planned annual contribution, and your current and retirement ages.
2
Enter your expected annual return. The historical average annual return of the S&P 500 is approximately 7% after inflation. Use a lower figure for a more conservative estimate.
3
Enter your estimated income tax rate. This is used to calculate how much tax you save by withdrawing tax-free from a Roth IRA versus paying tax on a traditional or taxable account.
4
Click Calculate to instantly see your projected retirement balance, total tax-free growth, and how your Roth IRA compares to a taxable investment account over the same period.

Example Roth IRA Calculation

Years of Growth: 35 years
Total Contributions: $232,500.00
Total Roth IRA Value: $951,922.62
Total Tax-Free Growth: $719,422.62

Tax Savings: $209,422.98
Taxable Account Value: $678,323.09
Roth IRA Advantage: $273,599.53
Growth Multiple: 4.09x

"In this scenario, every $1 you contributed turned into $4.09 at retirement. By choosing a Roth IRA over a taxable account, you effectively earned an extra $273,599 in net wealth."

Frequently Asked Questions

What is a Roth IRA and how does it work?

A Roth IRA is an individual retirement account funded with after-tax dollars. Your contributions are not tax-deductible but all growth and qualified withdrawals in retirement are completely tax-free. In 2026 the annual contribution limit is $7,000 if you are under 50 and $8,000 if you are 50 or older.

Roth IRA vs. Traditional IRA?

With a Traditional IRA contributions may be tax-deductible reducing your taxable income today but withdrawals in retirement are taxed as ordinary income. With a Roth IRA you pay tax now but all future growth and withdrawals are tax-free.

What return should I use?

The S&P 500 has historically returned approximately 10% per year on average before inflation and approximately 7% after inflation. Most financial planners use 6% to 8% as a conservative to moderate assumption for long-term projections.

When can I withdraw tax-free?

You can withdraw your contributions at any time tax-free. To withdraw earnings tax-free the account must be at least 5 years old and you must be at least 59 and a half years old.