IRA Calculator (Roth & Traditional)

An IRA is a yearly cap, not a brokerage product

Roth and Traditional IRAs share one 2026 dollar cap: $7,500, or $8,600 if you turn 50 this year. The difference is when you pay tax. This IRA calculator clips the contribution to that cap, compounds it, and shows a simple after-tax comparison.

It is not your custodian login and not a Form 8606. Enter the dollars you can actually transfer this year.

How the Roth vs Traditional sketch works

Both sides invest the same annual amount at the same return. Roth is the grown pot (qualified withdrawals tax-free in this sketch). Traditional taxes the IRA at the retirement rate, then adds the year-one deduction grown at the same return so equal tax rates land in the same place.

If those two tax rates are equal, the after-tax totals match. The interesting cases are a promotion (Roth) or a planned drop into a lower bracket (Traditional).

How to use it

Set the age band so the cap is right. Leave the contribution at $7,500 if you want the under-50 maximum. Change years to the gap until you expect to withdraw. Then nudge the two tax rates to a conservative story, not a best case.

If the 401(k) match is unfinished, fund that first. An IRA after a missed match is working harder than it needs to.

What this will not file for you

Spousal IRAs, backdoor Roths, conversions, and the pro-rata rule are out of scope. So are required minimum distributions on Traditional accounts after the applicable age.

For compounding with no IRA cap, use the compound interest calculator. For workplace deferrals, use the 401(k) page.

Typical examples

Frequently asked questions

What is the IRA contribution limit for 2026?

The IRS limit is $7,500 if you are under 50. Age 50 or older can add a $1,100 catch-up, for $8,600 total across all Traditional and Roth IRAs combined.

Roth or Traditional—which wins here?

If your tax rate now equals your rate in retirement, the after-tax pots match in this simple model. Traditional looks better if you expect a lower rate later; Roth looks better if you expect a higher rate later.

Does this apply Roth income limits?

No. 2026 Roth phase-outs start at $153,000 MAGI for single filers and $242,000 for joint filers. If you are over those ranges, you may need a backdoor Roth—this page will not block the contribution field.

Can I fund both a 401(k) and an IRA?

Yes, they have separate elective / IRA caps. Workplace coverage can limit Traditional deductibility. Use the 401(k) calculator for the plan and this page for the IRA.

Is 7% a promised return?

No. It is a round illustration. Fees, allocation, and the years you actually leave the money invested will change the ending number.