Roth IRA Calculator
A Roth IRA grows tax-free, and qualified withdrawals in retirement are tax-free too. This calculator projects the value of your Roth IRA at retirement from your current balance, annual contributions and expected return — and shows how much of the total is tax-free growth.
Use this Roth IRA calculator to see the power of decades of tax-free compounding. Enter your age, retirement age, current balance, annual contribution and expected return, and it projects your Roth IRA's value at retirement, splitting it into what you contributed and the growth you will never pay tax on.
Enter your details and expected return, then press Calculate.
How the Roth IRA calculator works
The magic of a Roth IRA is tax-free compounding, and this calculator shows it in full. It grows your current balance at your expected return for the years until retirement, and adds each year's contribution, compounding those too. The result is the account's projected value at retirement — and because it is a Roth, every dollar of it, contributions and growth alike, can be withdrawn tax-free once you qualify.
That is what makes the split so striking: after decades, the growth usually dwarfs the contributions, and in a Roth none of it is ever taxed. Compare the outcome against a 401(k) or a taxable account, weigh a Roth conversion, and see the raw power of compounding in the compound interest calculator.
The projection formula
- r — annual return
- n — years until retirement
- Growth — future value − total contributions (tax-free)
Why tax-free growth matters so much
In a taxable account, the tax collector takes a slice of your gains every year and again when you sell, quietly dragging on compounding. A Roth removes that drag entirely: the investments grow untouched, and the whole balance comes out tax-free in retirement. Over thirty or forty years that difference can be enormous, because the money that would have gone to tax stays invested and compounds alongside everything else. The longer your horizon, the more decisive the Roth advantage becomes.
Contribution limits and income rules
The IRS caps how much you can add each year — for 2026, $7,500 if you are under 50 and $8,600 if you are 50 or older — and you cannot contribute more than you earn. There is also an income ceiling: the ability to contribute directly to a Roth phases out at higher incomes based on your modified adjusted gross income and filing status. Those thresholds change yearly with inflation, so confirm the current limits on IRS.gov, and if your income is above the range, look into a backdoor Roth strategy.
2026 Roth IRA contribution and income limits
For 2026 you can contribute up to $7,500 to a Roth IRA, or $8,600 if you are 50 or older — the extra $1,100 is the catch-up contribution. Whether you can contribute the full amount depends on your modified adjusted gross income (MAGI). Single and head-of-household filers get the full limit below $153,000 and are phased out completely at $168,000; married couples filing jointly get the full limit below $242,000, phasing out at $252,000. Earn more than the top of your range and you cannot contribute directly, though a backdoor Roth may still be an option. These figures are indexed and change most years, so always confirm the current numbers with the IRS before you contribute.
Estimate only — not investment or tax advice. Returns are not guaranteed and contribution and income limits change yearly. Confirm current IRS limits and consult a professional.
How to use it & key terms
Enter your current age, retirement age, current balance, annual contribution and expected return, then press Calculate to see the tax-free value at retirement.
| Term | What it means |
|---|---|
| Roth IRA | A retirement account funded with after-tax money that grows tax-free. |
| Qualified withdrawal | A tax-free withdrawal, generally after 59½ and 5 years. |
| Contribution limit | The IRS annual cap: $7,500 under 50, $8,600 at 50+ for 2026. |
| MAGI | Modified adjusted gross income, used for the Roth income limit. |
| Catch-up | Extra contribution allowed from age 50. |
| Tax-free growth | Investment gains that are never taxed in a Roth. |
Sources & methodology
The calculator compounds the current balance at the expected annual return for the number of years until retirement, and adds each annual contribution as a growing ordinary annuity (contributions assumed at year-end). The future value is the sum of the two, total contributions are the current balance plus each year's contribution, and tax-free growth is the future value minus total contributions. In a Roth IRA, qualified withdrawals of both contributions and growth are tax-free. The 2026 contribution limits used are $7,500 for those under 50 and $8,600 for those 50 and older, per the IRS; limits and income phase-outs change annually.
Sources: IRS 2026 IRA contribution limits (irs.gov); standard future-value-of-an-annuity compounding. Returns are illustrative, not guaranteed.
The Roth's hidden flexibility
Beyond tax-free growth, a Roth IRA carries a feature that sets it apart from almost every other retirement account: unusual access to your own money. Because you fund it with dollars you have already paid tax on, the contributions you put in can generally be withdrawn at any age, at any time, with no tax and no penalty. It is only the earnings — the growth on top — that need to wait for the qualifying conditions. That single rule quietly turns a Roth into something more versatile than a locked box you cannot touch until retirement.
In practice, this means a Roth can double as a backstop. Money you contribute is working and compounding tax-free, yet it remains within reach if a genuine emergency arrives and you have nowhere else to turn. That is not an invitation to raid it — pulling contributions out sacrifices the future tax-free growth they would have earned, and the annual contribution room, once passed, is gone for good. But knowing the door is not bolted shut makes many people comfortable investing in a Roth who might otherwise leave the money in a low-earning account “just in case.”
The account is also free of lifetime required withdrawals. Unlike a traditional account, the original owner is never forced to start drawing it down at a particular age, so a Roth can be left to compound tax-free for as long as you like — useful whether you want to keep it growing for your own later years or hand it on. Left untouched, it simply keeps working.
All of this makes a Roth especially powerful early in a career. Someone young and in a modest tax bracket is often paying a low rate on the money going in, while capturing decades of tax-free compounding on the way out — the mirror image of the traditional trade-off, and a favourable one when today's rate is low and the time horizon is long. The flexibility is the safety net that makes committing to that long horizon easier. Use the projection above to see how the balance could grow, but keep the wider picture in mind: a Roth is not only a retirement pot but a flexible, tax-free foundation you can build around, with contributions that stay within reach and growth that is never forced out.
Frequently asked questions
What is a Roth IRA?
A Roth IRA is a retirement account you fund with money you have already paid income tax on. In exchange, your investments grow tax-free and qualified withdrawals in retirement are completely tax-free — including all the growth. It is the mirror image of a traditional IRA, where you get a tax break now but pay tax on withdrawals later. A Roth is especially powerful for people who expect to be in the same or a higher tax bracket in retirement.
How much can I contribute to a Roth IRA in 2026?
For 2026, the IRS limit on total contributions to all your traditional and Roth IRAs combined is $7,500 if you are under 50, or $8,600 if you are 50 or older, thanks to a $1,100 catch-up. You also cannot contribute more than your taxable compensation for the year. These limits are set by the IRS and change over time, so confirm the current figure before you contribute.
Are Roth IRA withdrawals tax-free?
Qualified Roth IRA withdrawals are entirely tax-free, which is the account's headline benefit. To be qualified, the withdrawal generally must happen after you turn 59½ and at least five years after your first Roth contribution. Because you already paid tax on the money going in, neither your contributions nor decades of investment growth are taxed coming out — a major advantage over a traditional IRA, where every dollar withdrawn is taxed as income.
What is the income limit for a Roth IRA?
Roth IRA eligibility phases out at higher incomes based on your modified adjusted gross income (MAGI) and filing status. Above the phase-out range you cannot contribute directly, though a "backdoor" Roth conversion is sometimes used instead. The exact income thresholds are set by the IRS each year and adjust for inflation, so check the current MAGI limits for your filing status on IRS.gov before contributing if your income is high.
Is a Roth IRA better than a traditional IRA?
It depends mainly on your tax rate now versus in retirement. A Roth is usually better if you expect to be in the same or a higher tax bracket later, because you lock in today's rate and never pay tax on the growth. A traditional IRA can win if you expect a lower rate in retirement, since you get the deduction now. Many people hold both to diversify their future tax exposure.
When can I withdraw from a Roth IRA without penalty?
You can withdraw your own contributions at any time, tax- and penalty-free, because you already paid tax on them. To withdraw the earnings tax- and penalty-free, you generally need to be at least 59½ and have had a Roth IRA open for at least five years. Taking earnings out earlier can trigger income tax and a 10% penalty, with some exceptions such as a first home or disability.
Can you have more than one Roth IRA?
Yes. There is no limit on how many Roth IRA accounts you can own, and some people open several at different providers. What does not change is the annual contribution limit, which applies to all your IRAs combined, not to each account — so having five Roth IRAs does not let you contribute five times the maximum. Many savers eventually consolidate accounts to simplify tracking, cut paperwork and keep an eye on fees, but spreading money across a few is perfectly allowed.
What if you earn too much to contribute to a Roth IRA?
If your income is above the Roth phase-out range, you cannot contribute directly, but a backdoor Roth is a common workaround: you contribute to a traditional IRA, which has no income limit, then convert it to a Roth. The catch is the pro-rata rule, which can make the conversion partly taxable if you hold other pre-tax IRA money. Because it is easy to get wrong, many people model the tax first or get professional advice before doing a backdoor Roth.