Roth IRA Calculator: Tax-Free Growth Estimate

Quick answer: A Roth IRA grows tax-free: you pay tax on contributions now, then qualified withdrawals (including all growth) are tax-free in retirement. 2026 limits: $7,500 per year ($8,600 if 50+) per IRS Notice 2025-67. Projected balance = current balance x (1+r)^n + annual contribution x (((1+r)^n - 1)/r).

Last reviewed: October 2026

Key facts

2026 contribution limit: $7,500 (under 50) / $8,600 (50+), per IRS Notice 2025-67.
Roth IRAs are funded with after-tax dollars; qualified withdrawals are tax-free.
Income phase-outs (2026): single $153,000-$168,000; married filing jointly $242,000-$252,000.
Contributions can be withdrawn any time tax- and penalty-free; earnings need age 59.5 plus the 5-year rule.

A Roth IRA calculator projects your tax-free retirement balance from your current age, retirement age, balance, annual contribution and expected return. This free calculator uses the 2026 IRS contribution limits ($7,500, or $8,600 at 50+) and shows contributions versus tax-free growth.

Enter your current age and retirement age, your current Roth IRA balance, your annual contribution and your expected annual return. The calculator projects your balance at retirement, your total contributions and the tax-free growth, and warns you if you exceed the 2026 limit.

How to use

Enter your current age and retirement age.
Enter your current Roth IRA balance (0 if starting fresh).
Enter your annual contribution (max $7,500 for 2026, $8,600 at 50+).
Enter your expected annual return (7% is the long-run US stock market average).
Click Calculate to see your projected tax-free balance.

Roth IRA formulas

FV = Balance x (1+r)^n + Annual x (((1+r)^n - 1)/r)

Your starting balance compounds for the full period (n = retirement age - current age); each year's contribution grows as an end-of-year annuity. Because contributions are after-tax, the entire projected balance is yours tax-free in retirement (qualified withdrawals).

Worked examples

Starting at 25: 40 years of compounding

Age 25, retire at 65, balance $0, contributing $7,500/year at 7% return. FV = 7500 x ((1.07^40 - 1)/0.07) = $1,497,263. Contributions: $300,000. Tax-free growth: $1,197,263. Nearly 80% of the final balance is growth you never pay tax on.

Starting at 40 with a balance

Age 40, retire at 65, balance $50,000, contributing $7,500/year at 6%. FV = 50000 x 1.06^25 + 7500 x ((1.06^25 - 1)/0.06) = $626,077. Contributions: $187,500. Growth plus existing balance does the rest.

2026 Roth IRA limits (IRS Notice 2025-67)

Item	2026	2025
Base contribution (under 50)	$7,500	$7,000
Catch-up contribution (50+)	$1,100	$1,000
Total at 50+	$8,600	$8,000
Single MAGI phase-out	$153,000-$168,000	$150,000-$165,000
MFJ MAGI phase-out	$242,000-$252,000	$236,000-$246,000

Frequently asked questions

What is the Roth IRA contribution limit for 2026?

$7,500 if you are under 50, or $8,600 if you are 50 or older (a $1,100 catch-up). These figures come from IRS Notice 2025-67 and cover the 2026 tax year. The calculator warns you if your entry exceeds the limit.

Is Roth IRA growth taxed?

No. A Roth IRA is funded with money you have already paid tax on, so qualified growth and withdrawals are tax-free. To be qualified, you generally need to be 59.5 or older and have held the account at least five years.

Is a Roth IRA better than a Traditional IRA?

It depends on taxes. A Roth wins if your retirement tax rate will be the same or higher than today's, because you lock in today's rate. A Traditional IRA wins if you expect a lower rate in retirement and can deduct contributions now.

Can I withdraw Roth IRA contributions early?

Yes. You can withdraw your own contributions at any time, tax- and penalty-free. Withdrawing earnings before 59.5 (or before the 5-year rule is met) can trigger taxes and a 10% penalty.

Is there an income limit for Roth IRAs?

Yes. For 2026, direct contributions phase out at $153,000-$168,000 of modified adjusted gross income for single filers, and $242,000-$252,000 for married couples filing jointly.

What is a backdoor Roth IRA?

If your income is above the Roth phase-out range, you cannot contribute directly, but you can still contribute to a Traditional IRA (nondeductible) and then convert it to a Roth IRA. There is no income limit on conversions. The catch is the pro-rata rule: if you already hold pre-tax money in a Traditional IRA, part of any conversion is taxed. Get tax advice before attempting it, especially if you have existing pre-tax IRA balances.

Do Roth IRAs have required minimum distributions?

No, not for the original owner: unlike Traditional IRAs and 401(k)s, a Roth IRA never forces you to withdraw during your lifetime, so the balance can keep compounding tax-free as long as you live. Inherited Roth IRAs are different: most non-spouse beneficiaries must empty the account within 10 years, though their withdrawals are still generally tax-free.

Sources

IRS: Notice 2025-67, 2026 retirement plan cost-of-living adjustments
Journal of Accountancy: 2026 inflation adjustments summary

Key takeaways

Roth IRAs are funded after-tax; qualified withdrawals, including all growth, are tax-free.
2026 limits: $7,500 ($8,600 at 50+) per IRS Notice 2025-67.
Starting early dominates: a 25-year-old maxing contributions for 40 years at 7% reaches about $1.5M.

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