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Roth IRA Calculator.
Project tax-free retirement savings growth in a Roth IRA
Set your values
Results update as you type.
Roth IRA withdrawals in retirement are generally tax-free. Estimates assume a constant annual return.
FAQs
How does a Roth IRA grow?
You contribute after-tax dollars, which then grow tax-free. Qualified withdrawals in retirement (age 59½ and after a 5-year holding period) are completely tax-free, including all investment gains.
How much can I contribute to a Roth IRA?
Annual contribution limits are set by the IRS and adjusted periodically; people age 50 and older can make additional catch-up contributions. Eligibility also phases out at higher income levels.
What return rate should I assume?
A common long-term assumption for a diversified stock portfolio is around 6–8% annually before inflation. Actual returns vary year to year, so treat the projection as an estimate.
Is a Roth IRA better than a traditional IRA?
It depends on whether you expect to be in a higher tax bracket in retirement. Roth IRAs are often favored by younger savers who expect their income (and tax rate) to rise over time.
How to Use the Roth IRA Calculator
Project how much your Roth IRA could be worth at retirement, and see how much of that balance comes from your own contributions versus tax-free investment growth.
- Enter your current Roth IRA balance (use 0 if you're just starting).
- Enter the amount you plan to contribute each year.
- Enter your current age and the age you plan to retire.
- Enter an expected average annual return (6–8% is a common long-term assumption).
- Review your projected balance at retirement, total contributions, and total growth.
Roth IRA Growth Formula
A Roth IRA grows through annual contributions that compound tax-free. This calculator models contributions made at the start of each year (an annuity due).
Future Value of Annual Contributions
Where C is the annual contribution, r is the annual return rate, and n is the number of years until retirement. The trailing (1 + r) reflects contributing at the start of each year.
Example:
Input: C = $7,000, r = 7%, n = 35 years
Calculation: 7,000 × (((1.07³⁵) − 1) / 0.07) × 1.07
Result: ≈ $1,036,000 (excluding any starting balance)
Growth of a Starting Balance
Any existing balance P compounds on its own at rate r for n years, on top of the future value of your contributions.
Example:
Input: P = $5,000, r = 7%, n = 35
Calculation: 5,000 × 1.07³⁵
Result: ≈ $53,400
Total Growth
Because Roth contributions are made with after-tax money, qualified withdrawals (including this growth) are tax-free in retirement.
Example:
Input: FV ≈ $1,089,000, contributions = $250,000
Calculation: $1,089,000 − $250,000
Result: ≈ $839,000 tax-free growth
Real-World Use Cases
A Roth IRA projection helps you decide how much to save and understand the long-term power of tax-free compounding.
Starting Early
See how decades of compounding turn modest contributions into a large tax-free nest egg.
Example: Contributing $7,000/year from age 25 to 65 at 7% can grow to well over $1.4M
Catch-Up Saving
Model larger contributions later in your career to gauge whether you're on track.
Example: Estimate the impact of catch-up contributions starting at age 50
Roth vs. Traditional
Compare the tax-free Roth outcome against a traditional IRA when deciding which to fund.
Example: Weigh tax-free withdrawals now vs. an upfront tax deduction
Tips & Common Mistakes
Tips
- Contribute consistently — automatic monthly transfers smooth out market timing.
- Check the annual IRS contribution limit and income eligibility each year.
- Treat the projected return as an estimate; real markets are volatile year to year.
Common Mistakes to Avoid
- Assuming an unrealistically high return rate inflates the projection.
- Forgetting that Roth eligibility phases out at higher incomes.
- Withdrawing earnings before age 59½ (and the 5-year rule), which can trigger taxes and penalties.
Related Calculators
Cite this calculator
Canonical URL: https://mathify.one/en/finance/roth-ira
Cite as: Mathify. (2026). Roth IRA Calculator. https://mathify.one/en/finance/roth-ira
Use Cases
Retirement Planning
See if your current savings and contributions are on track for your retirement goals by projecting your Roth IRA balance at retirement age.
Example: A 30-year-old with $10,000, contributing $6,000 annually at 7% return until age 65.
Contribution Impact Analysis
Compare how increasing your annual contribution or retiring later affects your projected tax-free savings.
Example: Increase annual contribution from $5,000 to $7,000 and see the difference in final balance.
Frequently Asked Questions
- How does the Roth IRA calculator project growth?
- It uses your current balance, annual contribution, current age, retirement age, and annual return rate to estimate the future value of your Roth IRA, assuming contributions are made annually and returns compound.
- What is the benefit of a Roth IRA?
- Roth IRA contributions are made with after-tax dollars, so qualified withdrawals in retirement are tax-free. This calculator shows the potential tax-free growth of your savings.
- Can I change the return rate?
- Yes, you can adjust the annual return rate to see how different market conditions might affect your projected balance. Remember, this is an estimate and not a guarantee.
Tips & Common Mistakes
Tips
- Use a conservative return rate (e.g., 5-6%) to account for market volatility.
- Start early to maximize the power of compounding over time.
- Consider increasing contributions as your income grows to boost your retirement savings.
- Review your plan annually and adjust your contribution or retirement age as needed.
Common Mistakes to Avoid
- Ignoring inflation: The projected amount is in today's dollars; future purchasing power will be less.
- Assuming a constant return rate: Real returns fluctuate; use a range of rates for a more realistic outlook.
- Forgetting to update your current balance and contributions as they change.
Last updated: August 13, 2026