Roth IRA Calculator

For 2026 you can put up to $7,500 into your IRAs, or $8,600 if you are 50 or older by the end of the year (a $1,100 catch-up, which rose from $1,000 because SECURE 2.0 now indexes it). If your taxable compensation is lower, that is your limit instead. It is one limit for all your traditional and Roth IRAs together, so $3,000 in a traditional IRA leaves at most $4,500 for a Roth IRA if you are under 50.

A higher income then shrinks the Roth part. Your modified AGI decides it: your adjusted gross income without any Roth conversion income, with a few items added back, such as the traditional IRA and student loan interest deductions (Publication 590-A, Worksheet 2-1).

Inside the range, your limit is cut in proportion to how far your modified AGI is into it. The steps, from Publication 590-A Worksheet 2-2, for a single filer aged 40 with a modified AGI of $160,000:

1. Modified AGI above the start of the range: $160,000 minus $153,000 is $7,000.
2. Share of the $15,000 range: $7,000 divided by $15,000 is 0.467 (the worksheet rounds it to at least three decimal places).
3. Limit before the income test: $7,500, or your taxable compensation if less.
4. Reduction: $7,500 times 0.467 is $3,502.50.
5. Reduced limit: $7,500 minus $3,502.50 is $3,997.50, rounded up to the next $10: $4,000. A result above $0 but under $200 becomes $200.

Contributions to traditional IRAs for the year also count: the Roth limit can never be more than the limit before the income test minus those contributions. Publication 590-A works the same steps with 2025 figures for a single filer with a modified AGI of $151,000 and gets $6,540; this calculator gives $6,540 with those figures too. The paragraph introducing that IRS example says $150,000 and $6,530, which does not match its own worksheet.

A qualified distribution is completely tax-free. It has to meet both tests:

• The 5-year rule: it comes after the 5-year period that starts on January 1 of the first tax year for which you contributed to a Roth IRA. A contribution made in April 2027 for 2026 starts the clock on January 1, 2026.
• A qualifying reason: you are 59½ or older, you are disabled, it is paid to your beneficiary or estate after your death, or it pays for a first home (up to $10,000 in your lifetime).

A withdrawal that is not qualified is not all taxed. Only the part that counts as earnings is taxable, and before 59½ that part may also owe the 10% additional tax unless an exception applies. Converted money has its own 5-year clock for the 10% tax, separate for each conversion.

At a 6% return, $7,500 a year from 30 to 65 grows to about $885,906, of which $262,500 is contributions; in a qualified distribution none of it is taxed.

For a withdrawal that is not qualified, the IRS treats the money as coming out in a fixed order, adding up all your Roth IRAs together:

1. Your regular contributions, which are never taxed when they come out.
2. Conversions and rollovers, oldest first, and within each one the part that was taxable when you converted before the part that was not.
3. Earnings.

So you can take back everything you have contributed before touching earnings. The taxable part, if any, is worked out in Part III of Form 8606.

The income limit applies to contributions, not to conversions: the law's old $100,000 income test for converting was repealed for tax years beginning after 2009. You can convert money from a traditional IRA to a Roth IRA at any income, and the converted amount is left out of the modified AGI used for the contribution limit. The converted amount is taxed as income in the year you convert; the Roth conversion calculator shows how much. To see whether a traditional IRA contribution is deductible for you, or how a traditional and a Roth IRA compare, use the IRA calculator.