Roth IRA Calculator | Contribution Limits

Quick Start Guide

  1. Enter Current Balance: Input your current Roth IRA balance (if any).
  2. Enter Annual Contribution: Input how much you contribute annually (up to IRS limits).
  3. Set Filing Status and MAGI: Switch to Eligibility mode to check your contribution phase-out based on income.
  4. Enter Expected Return: Input expected annual return rate (typically 6-8%).
  5. Enter Years to Retirement: Input how many years until you plan to retire.
  6. View Tax-Free Balance: See your projected balance and a breakdown of contributions vs. investment growth — all withdrawals are tax-free.

Understanding Roth IRA Growth

Why "tax-free" is the whole point of a Roth

You contribute after-tax dollars to a Roth IRA, so there is no upfront tax break — but every dollar of growth compounds completely tax-free, and qualified withdrawals in retirement owe no tax at all. That is different from a Traditional IRA or 401(k), where contributions reduce your taxable income now but withdrawals are taxed later.

Why the income phase-out advisory appears

Roth IRA eligibility phases out above certain income (MAGI) thresholds based on your filing status. Switch to Eligibility mode and enter your filing status and MAGI to see whether your contribution is reduced — the calculator shows an advisory when your entered contribution exceeds what you are actually allowed at your income level.

Simple vs. Eligibility mode

Simple mode projects growth assuming your full contribution is allowed. Eligibility mode adds filing status and MAGI so the calculator can check your income against the phase-out range and flag if you are over the direct-contribution limit.

What "backdoor Roth" means (and why this calculator does not model it)

If your income is above the phase-out range, some high earners use a "backdoor" strategy: contribute to a non-deductible Traditional IRA, then convert it to a Roth. There is no income limit on conversions, though the pro-rata rule complicates this if you hold other pre-tax IRA balances. This calculator projects direct Roth contributions only — it does not model the conversion mechanics.

What this calculator does not cover

This models a single Roth IRA with a fixed contribution and return rate — it does not track annual contribution-limit changes over multi-decade projections, employer-sponsored Roth 401(k) rules, or required minimum distributions (Roth IRAs, unlike Roth 401(k)s, have none for the original owner).

Features

Projection: Calculate future balance over time.

Eligibility: Surface current income phase-out guidance by filing status.

Tax-Free Withdrawal: See your potential nest egg.

Growth Visualization: Interactive growth chart.

Breakdown: Contributions vs. Investment Returns.

Export Data: Download the plan as JSON, CSV or a branded PDF, with the year-by-year projection included.

Common Use Cases

Tax-Free Income: project your balance at retirement and review future tax-free withdrawals.

Contribution Strategy: test contribution levels and add catch-up contributions to compare.

Early Retirement: model a Roth IRA as part of FIRE planning and see growth over your custom time horizon.

Estate Planning: use long-term CLV planning scenarios, then export or copy results for financial reviews.

Frequently Asked Questions

A Roth IRA is a retirement account where you contribute after-tax dollars, but all qualified withdrawals in retirement are tax-free. Unlike traditional IRAs, you pay taxes now but not in retirement. Ideal for those expecting higher tax rates in retirement.
Eligibility depends on Modified Adjusted Gross Income (MAGI). For 2026, single filers can make a full contribution below $153,000, with a phase-out range up to $168,000. Married filing jointly limits are $242,000 (full) to $252,000 (phase-out). Use the eligibility checker in this calculator to see your reduced contribution limit based on filing status and income.
You can withdraw your contributions (not earnings) anytime tax-free and penalty-free at any age. However, withdrawing earnings before age 59½ and before the account is 5 years old typically incurs income taxes and a 10% penalty. Qualified withdrawals in retirement are completely tax-free.
A backdoor Roth IRA is a strategy for high-income earners who exceed the income limit: make a non-deductible Traditional IRA contribution, then convert it to a Roth IRA. There is no income limit on conversions. Be aware of the pro-rata rule if you have other pre-tax IRA funds. This calculator does not model conversions — it is background if a phase-out advisory shows you are over the direct-contribution limit.
Enter your current balance (optional), annual contribution, expected return, and years to retirement. The calculator shows future value, total contributions, investment growth, and tax-free withdrawal amount. All qualified withdrawals in retirement are tax-free.
Use the growth projection: enter your current balance, annual contribution, expected return rate, and years to retirement. The calculator compounds tax-free growth and shows your estimated balance at retirement, since Roth withdrawals in retirement are not taxed.
Choose Roth IRA if you expect higher tax rates in retirement, want tax-free withdrawals, or want no required minimum distributions (RMDs). Choose traditional IRA if you want tax deductions now and expect lower tax rates in retirement. Many people use both.

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