IRA Calculator
Calculate your IRA retirement savings for Traditional or Roth IRA. See future value, tax implications, and projected retirement income.
Your current age
Age you plan to retire
Current amount in your IRA (optional)
Yearly contribution (2024 limit: $7,000, or $8,000 if 50+)
Expected yearly investment return (stocks avg 10%, balanced 7-8%)
Type of IRA account
Your current marginal tax rate (for Traditional IRA tax savings)
Expected tax rate in retirement (for withdrawal calculations)
What is the difference between Traditional IRA and Roth IRA?
Traditional IRA: Tax-deductible contributions now, pay taxes on withdrawals in retirement. Best if you expect lower tax rates in retirement. Roth IRA: After-tax contributions, tax-free withdrawals in retirement. Best for younger workers or those expecting higher future tax rates. Both have 2024 contribution limits of $7,000 ($8,000 if 50+). Traditional has RMDs at 73; Roth has no RMDs during owner's lifetime.
How much should I contribute to my IRA?
Contribute the maximum if possible: $7,000/year ($8,000 if 50+) in 2024. Priority order: 1) 401k up to employer match (free money), 2) Max out Roth IRA if eligible ($7k), 3) Max out 401k ($23,000 limit), 4) Backdoor Roth if income too high, 5) Taxable brokerage. Even $500/month ($6,000/year) at 8% for 30 years = $679,000. Start early - a 25-year-old contributing $7k/year reaches $2M by 65 at 8% return.
What are IRA income limits for 2024?
Roth IRA (2024): Full contribution if single <$146k, married <$230k. Partial if single $146k-$161k, married $230k-$240k. No contribution above those. Traditional IRA deduction: Phased out if covered by workplace plan - single $77k-$87k, married $123k-$143k. No income limits for traditional IRA contributions, only deductibility. Use backdoor Roth if over limits: contribute to traditional (non-deductible), immediately convert to Roth.
Can I withdraw from my IRA early without penalty?
Generally no - 10% penalty + taxes before 59½. Exceptions: First home purchase ($10k lifetime), qualified education expenses, medical expenses >7.5% AGI, health insurance if unemployed, disability, substantially equal periodic payments (72t). Roth IRA: contributions (not earnings) withdrawable anytime penalty-free. Traditional: all withdrawals taxed + penalty before 59½. Rule of 55 allows penalty-free 401k withdrawals if you leave job at 55+.