Roth IRA Calculator 2026

It depends on your starting age, contribution amount, and return rate. At $7,000/year and 7% annual return: starting at age 25 → $1,918,000 by age 65. Starting at age 30 → $1,338,000. Starting at age 35 → $921,000. Starting at age 40 → $623,000. These figures are in today's dollars at a 7% real return, or in nominal dollars at 7% if you assume inflation-adjusted contributions. The key takeaway: every decade of delay roughly halves your ending balance.

The 2026 Roth IRA contribution limit is $7,000 per person ($8,000 if age 50 or older — the $1,000 catch-up contribution). This limit applies per person, not per account. Married couples can each contribute $7,000 for a combined $14,000/year. You must have earned income at least equal to your contribution. Income limits also apply — see the next question.

For 2026, the Roth IRA phase-out range is: Single filers — full contribution if MAGI below $150,000; phase-out $150,000–$165,000; no contribution above $165,000. Married filing jointly — full contribution below $236,000; phase-out $236,000–$246,000; no contribution above $246,000. If your income exceeds the limit, a backdoor Roth IRA (non-deductible traditional IRA → Roth conversion) is a legal workaround. Source: IRS Revenue Procedure 2025-32.

Roth wins when: you're in a lower tax bracket now than you'll be in retirement, you're young and have many years of tax-free compounding, or you want no required minimum distributions (RMDs). Traditional wins when: you need the tax deduction now (high current income), you expect a lower tax rate in retirement, or your state doesn't tax retirement income. Rule of thumb: if you're under 40 and in the 22% or lower bracket, Roth IRA almost always wins. If you're over 50 in the 32%+ bracket, Traditional or 401(k) pre-tax first.

Yes, with nuance. Roth IRA contributions (not earnings) can be withdrawn any time, at any age, with no taxes or penalties — because you already paid tax on them. Earnings are different: before age 59½ and before the account has been open 5 years, withdrawing earnings triggers income tax plus a 10% penalty. Exceptions to the 10% penalty include: first home purchase (up to $10,000 lifetime), disability, death, higher education expenses, and substantially equal periodic payments (SEPP/72t).

They feel different upfront but the math depends on your tax rate. Traditional: $7,000 deduction saves $1,540 in taxes now (22% bracket) — net cost $5,460. But you pay taxes on withdrawals in retirement. Roth: $7,000 costs $7,000 now — no deduction. But all withdrawals, including decades of growth, are 100% tax-free. On a $7,000 investment growing to $100,000 over 30 years: Traditional taxes the full $100,000 withdrawal; Roth taxes nothing. The Roth advantage grows the longer the money compounds.

A backdoor Roth IRA is a strategy for high earners who exceed the Roth income limits. Steps: 1) Make a non-deductible contribution to a Traditional IRA (no income limit). 2) Convert the Traditional IRA to a Roth IRA (a 'Roth conversion'). If you have no other pre-tax IRA money, the conversion is essentially tax-free. If you have other pre-tax IRA funds, the pro-rata rule applies — a portion of the conversion may be taxable. Always consult a CPA before executing this strategy, especially if you have other IRA accounts.

Roth IRAs don't have required minimum distributions (RMDs) for the original owner — you never have to withdraw during your lifetime. If you leave a Roth IRA to a beneficiary (non-spouse): under the SECURE 2.0 Act, they must withdraw the full account within 10 years, but withdrawals remain income tax-free (since the original owner paid the taxes). Spouses can roll the inherited Roth IRA into their own Roth IRA and continue tax-free growth indefinitely. This makes the Roth IRA one of the most powerful estate planning tools available.