Retirement Calculator: Traditional vs Roth
The choice between traditional and Roth accounts is fundamentally about when you pay taxes: now or later. This calculator models both side by side — balance at retirement, the tax bite on withdrawals, RMDs, and the annual income your savings can support — all in today's dollars.
Calculator Inputs
Adjust the values below to match your specific retirement planning situation. Contributions are assumed at the start of each year, and all projections are shown in today's dollars (returns are adjusted for inflation).
Results: Retirement Projections
Your savings cover your full retirement income target, with $87,346.03 a year of income.
Change any input above and this updates instantly.
Based on your inputs, here's how your retirement accounts will grow (all values in today's dollars)
Traditional 401k/IRA
Roth IRA
See the full breakdown
Traditional 401k/IRA
Roth IRA
Retirement Account Growth Projection
Projected account balances over time in today's dollars, drawing down the 4%-rule income (or RMDs, if larger) in retirement.
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Traditional vs Roth: Which Should You Choose?
by Alan Brilliant
Understanding the key differences between traditional and Roth retirement accounts
The Power of Tax-Advantaged Accounts
Retirement accounts offer incredible tax advantages that can dramatically impact your financial future. The choice between traditional and Roth accounts is fundamentally about when you pay taxes: now or later. This calculator helps you model both scenarios to determine the optimal strategy for your situation.
Key Differences
- Traditional 401k/IRA: Contributions are tax-deductible now, but withdrawals in retirement are taxed as ordinary income
- Roth 401k/IRA: Contributions are made with after-tax dollars, but withdrawals in retirement are completely tax-free
- Required Minimum Distributions (RMDs): Traditional accounts require withdrawals starting at age 73 (rising to 75 in 2033), while Roth accounts have no RMDs (and Roth 401(k)s since 2024)
- Contribution Limits: Both have annual limits, with catch-up contributions allowed for those 50 and older — plus a larger "super catch-up" for ages 60-63
- Income Limits: Roth IRAs have income limits for eligibility, while traditional IRAs and 401ks generally don't. This calculator models the Roth side as a Roth IRA; a Roth 401(k) shares the higher 401(k) limit and has no income cap
2026 Contribution Limits
401k Limits
- Under 50: $24,500
- 50 and older: $32,500 (includes $8,000 catch-up)
- Ages 60-63: $35,750 (includes $11,250 super catch-up)
- Total with employer match: Up to $72,000 (under 50)
IRA Limits
- Under 50: $7,500
- 50 and older: $8,600 (includes $1,100 catch-up)
- Roth IRA income limits apply
Which Should You Choose?
The optimal choice depends on your current tax situation vs. your expected tax situation in retirement:
Consider Traditional If:
- You're in a high tax bracket now
- You expect to be in a lower bracket in retirement
- You need the immediate tax deduction
- You're maximizing current tax savings
Consider Roth If:
- You're in a lower tax bracket now
- You expect higher taxes in retirement
- You want tax-free retirement income
- You want to avoid RMDs
What's changed on this page
- August 6, 2026 Rebuilt on the 2026 limits: a $24,500 401(k) deferral cap, the $11,250 super catch-up at ages 60-63, a $72,000 combined employee-and-employer cap, and a $7,500 IRA limit with the Roth income phase-out now tapering the allowed contribution instead of cutting it off. Projections are now in today's dollars, with returns adjusted for inflation. Withdrawals are taxed through the 2026 federal brackets rather than one flat retirement rate, Social Security is taxed at 0%, 50% or 85% based on provisional income, and RMDs use the IRS Uniform Lifetime Table.
- July 15, 2025 Published.
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