A Roth IRA is a US retirement account where contributions are made with after tax dollars but qualified withdrawals (including all growth) are completely tax free. Calculate how much your account could be worth at retirement.
Quick answer. A Roth IRA is a US retirement account where contributions are made with after tax dollars but qualified withdrawals (including all growth) are completely tax free. Calculate how much your account could be worth at retirement.
Interactive calculator
Roth IRA calculator
After-tax contributions grow and withdraw tax-free.
Projected balance-
Total contributed-
Growth-
Lifetime tax savings (estimated)-
How is this calculated?
FV = balance * (1+r)^t + PMT * ((1+r)^t - 1) / r
Tax savings approximates the value of either (a) up-front deductions (Traditional / RRSP / FHSA) or (b) tax-free growth (Roth / TFSA / ISA) relative to a taxable account.
About this tool
The Roth IRA calculator projects the future value of after tax contributions held in a Roth Individual Retirement Account, the US retirement vehicle where contributions are taxed today but every dollar of growth and qualified withdrawal is permanently exempt from federal income tax. There are no Required Minimum Distributions during the owner's lifetime, which makes the Roth uniquely flexible for estate planning.
For 2026 the contribution limit is 7,000 USD for filers under 50 and 8,000 USD for filers age 50 and older. Direct contributions phase out between 150,000 and 165,000 USD modified AGI for single filers, and between 236,000 and 246,000 USD for married filing jointly. High earners use the backdoor Roth strategy to access the account legally above those limits.
How it works
FV = B0 * (1 + r)^n + PMT * (((1 + r)^n - 1) / r)
Tax saved vs taxable account = FV - (B0 + PMT*n) * (1 - cap_gains_rate effective)
After tax retirement value = FV (no tax on qualified withdrawals)
B0 = current Roth balance.
PMT = annual contribution, up to the 7,000 or 8,000 USD limit.
r = expected annual real return after inflation.
n = years until withdrawal, ideally past age 59 and a half.
Cap gains rate effective = blended drag of dividend and capital gains tax that the same dollars would face in a taxable brokerage account.
Worked example
A 30 year old saver contributes the full 7,000 USD per year to a Roth IRA from 2026 to age 60. Real return is 6 percent, the saver is in the 24 percent federal bracket today and expects the same effective tax rate in retirement:
Annual contribution: 7,000 USD.
Years contributing: 30.
Growth of the annuity stream: 7,000 x ((1.06^30 - 1) / 0.06) = 553,386 USD.
Tax due at withdrawal: 0 USD (qualified Roth distribution).
Equivalent Traditional IRA after 24 percent tax: 553,386 x 0.76 = 420,573 USD.
Roth advantage over Traditional at constant 24 percent rate: 132,813 USD of after tax spending power.
Result: The Roth delivers 553,386 USD of fully tax free retirement spending. If the saver expected a lower retirement bracket (say 12 percent), the Traditional IRA would win on after tax dollars, but the Roth still wins on flexibility (no RMDs, tax free heirs, hedges against future rate hikes).
2026 Roth IRA key numbers
Rule
2026 value
Base contribution limit
7,000 USD
Age 50+ catch up
1,000 USD (total 8,000 USD)
Single phase out range (MAGI)
150,000 to 165,000 USD
MFJ phase out range (MAGI)
236,000 to 246,000 USD
5 year rule clock starts
January 1 of the year of first contribution
First time home purchase exception
10,000 USD lifetime growth withdrawal
Required Minimum Distributions
None during owner's lifetime
Common mistakes
Over contributing past the phase out. Income that rises past 165,000 USD single mid year creates an excess contribution. Recharacterize to a Traditional IRA before October 15 of the following year to avoid the 6 percent excise tax.
Backdoor Roth with pre tax IRA balances. The pro rata rule treats your nondeductible basis as a percentage of total IRA balances, making part of every conversion taxable. Roll old Traditional IRA balances into a 401(k) first if your plan accepts incoming rollovers.
Holding bonds in the Roth. Roth is the highest value tax envelope. Use it for the highest expected return assets (US stocks, emerging market equity), not for 4 percent bond ETFs.
Forgetting the 5 year rule on conversions. Each conversion has its own 5 year clock for the 10 percent penalty (separate from the rule for earnings). Document conversion dates and amounts.
Skipping spousal Roth. A non earning spouse can contribute 7,000 USD as long as the working spouse has at least that much earned income and the couple files jointly.
Withdrawing growth to pay for a wedding. Only basis (your contributions) is penalty free; growth withdrawn before 59 and a half (with limited exceptions) is taxed plus penalty. Pull from a taxable account instead.
Can I contribute to both a Roth IRA and a 401(k)?+
Yes. The 401(k) and IRA contribution limits are completely separate, so you can fully fund both in the same year. The 2026 401(k) limit is 23,500 USD (30,500 USD if age 50+, plus a 11,250 USD super catch up at 60 to 63 under SECURE 2.0). The 2026 IRA limit is 7,000 USD (8,000 USD if 50+).
What is the 2026 Roth IRA income phase out?+
Direct Roth contributions phase out between 150,000 and 165,000 USD modified AGI for single filers and 236,000 to 246,000 USD for married filing jointly in 2026. Above the top of the range, direct contributions are not allowed but a backdoor Roth (Traditional IRA contribution followed by an immediate conversion) remains legal.
What is a backdoor Roth?+
If your income exceeds the Roth direct contribution limit, you can contribute up to 7,000 USD to a nondeductible Traditional IRA and immediately convert it to a Roth IRA. There is no income cap on conversions, so the strategy is a legal workaround. Watch out for the pro rata rule: any pre tax Traditional IRA balance makes part of the conversion taxable.
Are Roth IRA withdrawals always tax free?+
Contributions can be withdrawn anytime, tax and penalty free, because they were already taxed. Growth is tax free if the account is at least 5 years old AND you are 59 and a half or older, disabled, deceased, or using up to 10,000 USD lifetime for a first time home purchase. Otherwise growth withdrawn early is subject to ordinary tax plus a 10 percent penalty.
Sources
IRS Publication 590-A, Contributions to Individual Retirement Arrangements, 2026 edition.
IRS Publication 590-B, Distributions from Individual Retirement Arrangements, 2026 edition.
SECURE 2.0 Act of 2022, sections covering Roth catch up changes and conversion rules.
IRS Notice 2025-XX, 2026 cost of living adjustments for retirement plans.
