Roth vs. Traditional
Enter your current balances, salary, and contribution strategy. See how your accounts grow side by side, and explore what a Roth conversion would look like.
Where you stand today
Enter the current balances in your retirement accounts. If you only have one type, leave the other at zero.
Combined traditional IRA and traditional 401k
Combined Roth IRA and Roth 401k
Your salary and contributions
Enter your annual salary. Then choose how much of your salary to contribute and how to split it between Traditional and Roth. The two percentages should add up to your total contribution rate.
Percentage of salary to Traditional (pre-tax)
Percentage of salary to Roth (after-tax)
Percentage of your salary the employer contributes
Tax and growth assumptions
Combined federal and state rate on your next dollar of income
Estimated rate when you withdraw in retirement
Roth conversion scenario (optional)
A Roth conversion moves money from your Traditional account into your Roth account. The converted amount is taxed as ordinary income in the year you convert. This section lets you explore what that looks like with your numbers.
Current Path
No conversion- Traditional at retirement
- $0
- Roth at retirement
- $0
- Tax owed on Traditional withdrawals
- $0
Enter your information above to see a projection.
What this calculator does not model.
This tool provides a simplified educational illustration. Several factors that affect real-world outcomes are not included here.
On Roth conversions
- A Roth conversion is taxed as ordinary income in the year it occurs. A large conversion can push you into a higher tax bracket, meaning you pay a higher rate on part of the converted amount than you might expect. This calculator applies a flat rate and does not model bracket stacking.
- There is no 10% early withdrawal penalty on the conversion amount itself. However, the converted amount must remain in the Roth account for five years before the earnings on that converted amount can be withdrawn tax-free and penalty-free. This is called the five-year rule, and it applies separately to each conversion.
- Partial conversions spread across multiple years are a common strategy to manage the tax impact. Converting $20,000 per year over five years instead of $100,000 at once can keep you in a lower bracket each year. This calculator models a single one-time conversion.
- Conversions cannot be reversed. Before 2018, you could "recharacterize" (undo) a Roth conversion. That option no longer exists under current tax law.
On retirement accounts generally
- Traditional accounts are subject to Required Minimum Distributions (RMDs) starting at age 73 (under current law). You must begin withdrawing a minimum amount each year whether you need the money or not, and those withdrawals are taxed. Roth accounts are not subject to RMDs during the owner's lifetime. This is a significant advantage for estate planning and for managing taxable income in retirement.
- State income taxes vary widely. Some states have no income tax. Some exempt retirement income. Your state of residence in retirement may be different from where you live now. This calculator does not model state taxes separately.
- Future tax law is uncertain. Tax rates, brackets, and the rules governing retirement accounts may change between now and your retirement.
- This calculator does not model Social Security income, pensions, rental income, or other sources of retirement income, all of which affect your effective tax rate in retirement.
- Annual contribution limits apply to both Traditional and Roth accounts. This tool does not enforce them. Consult IRS guidelines or a tax professional for current limits.
On employer matches
- Employer matching contributions are always made to the pre-tax (Traditional) side of a 401k plan. This is required by federal tax law. Even if an employee directs 100% of their own contributions to Roth 401k, the employer match goes to Traditional.
- Some employer matches have vesting schedules, meaning you may not own the full match amount until you have worked at the company for a certain number of years. This calculator assumes all matches are fully vested.
This is an educational tool, not financial or tax advice. Decisions about Roth conversions, contribution splits, and retirement account strategy are genuinely situation-specific. The numbers here illustrate general principles under simplified assumptions. For decisions involving your specific circumstances, consult a qualified financial advisor and tax professional.
Have questions about your specific situation? Reach out through the contact page.
Get in TouchEducational illustration only. This calculator intentionally does not recommend any specific account type, contribution strategy, or conversion decision. Results are based on simplified assumptions and general tax rates. Not personalized financial, tax, or investment advice. Consult qualified professionals before making retirement account decisions.
About this calculator.
This tool projects your Traditional and Roth retirement account balances forward to retirement based on your current balances, salary, contribution percentages, employer match, and tax assumptions. It shows the combined after-tax value of both accounts under your current plan, and optionally shows what would change if you converted some or all of your Traditional balance to Roth today.
The contribution split is entered as two separate percentages. If your employer plan allows you to contribute 8% of your salary and you want to split that 4% to Traditional and 4% to Roth, enter 4 in each field. The employer match always flows to the Traditional side because that is how federal tax law works, regardless of where you send your own dollars.
If you explore a Roth conversion, you can choose whether to pay the resulting tax bill from outside funds (a savings account, for example) or from the converted amount itself. This choice matters. Paying from outside funds means the full converted amount goes into your Roth and grows tax-free. Paying from the account reduces how much reaches the Roth, which reduces the long-term benefit of converting.