Roth IRA Calculator

Roth IRA: Tax-Free Retirement Growth

A Roth IRA is a retirement account where contributions are made with after-tax dollars, but withdrawals in retirement are completely tax-free. In 2026, the contribution limit is $7,000 ($8,000 if age 50+). The power of tax-free compounding over decades can mean hundreds of thousands of dollars in tax savings.

Roth IRA vs. Traditional IRA

Traditional IRAs offer tax deductions now but taxable withdrawals later. Roth IRAs offer no upfront deduction but tax-free withdrawals in retirement. If you expect to be in a higher tax bracket in retirement — or want to minimize future tax uncertainty — the Roth IRA is typically the better choice.

2026 Income Limits

In 2026, Roth IRA contributions phase out for single filers earning $146,000-$161,000 and married couples filing jointly earning $230,000-$240,000. The backdoor Roth strategy allows high-income earners to contribute to a traditional IRA and convert it to Roth.