Roth vs traditional

Same paycheck cost, after-tax nest egg at your retirement bracket. A conversion of money already in a traditional IRA is a different file: Roth conversion calculator.

Quick answer: This calculator compares a Roth contribution and a traditional contribution that cost the same paycheck today, then grows both at the return you type and taxes the traditional balance at the retirement rate you type.

Traditional contribution / yr (pre-tax) Years invested Annual return % Tax rate now % Tax rate in retirement %

Same paycheck: the traditional dollar is pre-tax; the Roth dollar is that amount times (1 − today’s rate). Both grow at the return you type. Traditional is then taxed at the retirement rate; Roth is not. 2026 IRA cap is $7,500, or $8,600 at age 50+ (IRS Notice 2025-67). 2025 was $7,000 / $8,000. A 401(k) elective deferral is a different cap ($24,500 in 2026). 22% and 24% are ordinary brackets in Rev. Proc. 2025-32 — type your own marginal rate. Ignores state tax, RMDs, and a nondeductible traditional contribution. Educational only.

What this means for you

What this means for you: Roth wins in this model when the retirement rate is higher than today's rate, because the traditional balance still owes that tax. The page ignores state tax, RMDs, and a nondeductible traditional contribution. Caps printed on the page were not changed in this review.

How to use this calculator

Open the Roth vs traditional calculator and keep the sample numbers or replace them with your own. The result updates as you type.
Read the headline figure first, then the breakdown or chart under it.
Use Copy share link if you want those inputs in the URL. The page is an educational estimate, not a filing, approval, or recommendation.

FAQ

Why do the contributions differ?

The traditional dollar is pre-tax. The Roth dollar is that amount times one minus today's rate, so the paycheck cost matches.

Which rate matters more?

Today's rate sets how much Roth you can buy for the same paycheck. The retirement rate sets the tax on the traditional balance.

Does this use the 401(k) limit or the IRA limit?

The note on the page lists both caps and says they are different. The growth math uses the dollars you type.

Educational, not financial advice. Page updated October 24, 2026 — no tax, limit, or rate figure was changed in this review.