IRA
🏺 INDIVIDUAL RETIREMENT ACCOUNT

IRA Calculator

Project your Traditional IRA balance at retirement, calculate your annual tax deduction savings, estimate Required Minimum Distributions, and compare IRA types side by side.

2026 IRA Limits

Contribution Limit (Under 50)
$7,000
Catch-Up (Age 50+)
$8,000
RMD Age
73
SEP-IRA Limit
$70,000
SIMPLE IRA
$16,500

Traditional IRA Calculator

Pre-tax growth with immediate savings

YOUR INFORMATION

2026 limit for your age: $7,000/yr

TAX RATES

Traditional IRA Balance at Retirement

$813,471

At age 65 (gross, pre-tax) · 7.0% annual return

After-Tax (at 12%): $715,854

Total Contributed

$230,000

Pre-Tax Growth

$583,471

After-Tax Value

$715,854

Monthly Income (4% Rule)

$2,712

pre-tax

💰 Annual Tax Deduction Savings

$1,540

Tax Saved This Year

$46,200

Total Tax Saved

22%

Current Tax Rate

Feature🟠 Traditional IRA🟣 Roth IRA🔵 SEP-IRA🟢 SIMPLE IRA
2026 Contribution Limit$7,000 ($8K 50+)$7,000 ($8K 50+)~$70,000$16,500
Tax on ContributionsPre-tax (deductible)After-taxPre-tax (deductible)Pre-tax
Tax on WithdrawalsTaxed as incomeTax-freeTaxed as incomeTaxed as income
Required Minimum Dist.Age 73 requiredNoneAge 73 requiredAge 73 required
Income LimitDeductibility limits$165K single phaseoutSelf-employed onlyEmployer plan
Who Is It For?Any earnerLower-bracket earnersSelf-employedSmall businesses

📈 Traditional IRA Growth: Pre-Tax Accumulation

$0k$15k$30k$45k$60k36394245485154576063

📅 Year-by-Year Traditional IRA Schedule

AgeContributionGrowthGross BalanceTax Deduction SavedAfter-Tax Value
36$7,000$1,400$28,400$1,540$24,992
37$7,000$1,988$37,388$1,540$32,901
38$7,000$2,617$47,005$1,540$41,365
39$7,000$3,290$57,296$1,540$50,420
40$7,000$4,011$68,306$1,540$60,109
41$7,000$4,781$80,088$1,540$70,477
42$7,000$5,606$92,694$1,540$81,571
43$7,000$6,489$106,182$1,540$93,440
44$7,000$7,433$120,615$1,540$106,141
45$7,000$8,443$136,058$1,540$119,731
46$7,000$9,524$152,582$1,540$134,272
47$7,000$10,681$170,263$1,540$149,831
48$7,000$11,918$189,181$1,540$166,480
49$7,000$13,243$209,424$1,540$184,293
50$7,000$14,660$231,084$1,540$203,354
51$7,000$16,176$254,260$1,540$223,748
52$7,000$17,798$279,058$1,540$245,571
53$7,000$19,534$305,592$1,540$268,921
54$7,000$21,391$333,983$1,540$293,905
55$7,000$23,379$364,362$1,540$320,639
56$7,000$25,505$396,867$1,540$349,243
57$7,000$27,781$431,648$1,540$379,850
58$7,000$30,215$468,864$1,540$412,600
59$7,000$32,820$508,684$1,540$447,642
60$7,000$35,608$551,292$1,540$485,137
61$7,000$38,590$596,882$1,540$525,256
62$7,000$41,782$645,664$1,540$568,184
63$7,000$45,196$697,861$1,540$614,117
64$7,000$48,850$753,711$1,540$663,266
65$7,000$52,760$813,471$1,540$715,854

Understanding Traditional IRAs and RMDs

A Traditional IRA offers immediate tax deductions on contributions and tax-deferred growth — you pay taxes only when you withdraw in retirement. Our IRA calculator shows your projected balance, annual tax savings, after-tax value, and Required Minimum Distribution schedule. For the tax-free growth alternative, see our Roth IRA calculator, the deeper RMD calculator, and our 401(k) calculator for the employer-plan side of retirement savings.

💰 Traditional IRA Key Benefits

  • Tax deduction now: contributions may reduce your taxable income
  • Tax-deferred growth: no tax on dividends, interest, or capital gains annually
  • Flexible investing: stocks, bonds, ETFs, mutual funds, CDs, REITs
  • Anyone with earned income can contribute (deductibility has limits if covered by a workplace plan)
  • Best if you're in a high tax bracket now and expect lower taxes in retirement
  • Penalty-free withdrawals from age 59½

📋 Required Minimum Distributions

  • RMD age: must start withdrawals at age 73 (SECURE Act 2.0)
  • Formula: account balance ÷ IRS Uniform Lifetime Distribution period
  • Age 73 divisor ≈ 27.4 (withdrawal rate ≈ 3.65%)
  • Age 80 divisor ≈ 20.2 (withdrawal rate ≈ 4.95%)
  • Penalty for missing: 25% excise tax on any shortfall (reduced to 10% if corrected promptly)
  • Roth IRA: no RMDs — another advantage of Roth

📊 IRA Deductibility Income Limits (2026)

  • Single, with a workplace plan: full deduction under ~$79,000 MAGI
  • Single, workplace-plan phase-out: $79,000–$89,000 MAGI
  • Married filing jointly, covered: full deduction under ~$126,000 MAGI
  • MFJ phase-out: $126,000–$146,000 MAGI
  • Spouse covered, you're not: $236,000–$246,000 MAGI
  • No workplace plan at all → full deduction at any income

🔄 IRA Rollover Options

  • 401(k) → Traditional IRA: keep tax-deferred status, more investment options
  • Traditional IRA → Roth IRA: conversion — pay tax now, tax-free forever after
  • 60-day rollover rule: indirect rollovers must complete within 60 days or face taxes/penalties
  • Direct transfer: trustee-to-trustee, no tax withholding or penalty
  • Once-per-year rule: only one IRA-to-IRA rollover allowed per 12 months
  • See our Roth IRA calculator to model conversion benefits

— FAQ

Frequently Asked Questions