Quick answer
To project your Roth IRA, enter your current balance and monthly contribution into the calculator. The $7,000 annual limit works out to about $583/month. Because Roth withdrawals are tax-free, your projected balance represents spendable dollars — unlike a traditional 401(k) where you still owe income tax on each withdrawal.
Roth IRA growth projections
| Starting age | Annual contribution | Balance at 65 (7%) | Tax savings vs taxable |
|---|---|---|---|
| 25 | $7,000/yr | $1,931,000 | $400,000+ |
| 30 | $7,000/yr | $1,370,000 | $280,000+ |
| 35 | $7,000/yr | $961,000 | $195,000+ |
| 40 | $7,000/yr | $663,000 | $130,000+ |
| 45 | $7,000/yr | $444,000 | $85,000+ |
7% average annual return assumed. Tax savings vs. taxable estimate assumes 22% tax on realized gains — actual savings depend on your tax rate and withdrawal pattern.
Key Roth IRA rules
Contributions vs. earnings
You can withdraw your contributions (not earnings) at any time without tax or penalty. Only earnings are restricted until age 59½ and a 5-year holding period is met.
No required minimum distributions
Unlike a traditional IRA or 401(k), a Roth IRA has no RMDs during your lifetime. The money can grow tax-free indefinitely — useful for estate planning and late-retirement flexibility.
Income limits apply
In 2025, Roth IRA contributions phase out starting at $150,000 (single) and $236,000 (married filing jointly). Above the phase-out ceiling, direct Roth contributions are not allowed — but a backdoor Roth conversion may be an option.
2025 Roth IRA limits
| Filing status | Full contribution | Phase-out begins | Phase-out ends |
|---|---|---|---|
| Single / head of household | $7,000 ($8,000 age 50+) | $150,000 | $165,000 |
| Married filing jointly | $7,000 ($8,000 age 50+) | $236,000 | $246,000 |
| Married filing separately | $7,000 ($8,000 age 50+) | $0 | $10,000 |
Limits are adjusted annually. Verify current figures at irs.gov before contributing.
Project your Roth IRA at retirement
Combine your Roth IRA with other accounts to see your full retirement picture, including inflation and Social Security.
Roth vs. traditional: which wins?
The honest answer depends on your current tax rate versus your expected tax rate in retirement. If you are in a low bracket now and expect a higher one later, the Roth wins — you pay tax now at the lower rate and never again on the growth. If you expect lower taxes in retirement (common for high earners), the traditional upfront deduction can come out ahead.
For most people in the middle of their careers, the flexibility of tax-free withdrawals — and no RMDs — gives the Roth an edge that goes beyond just the math. Having a mix of pre-tax and Roth accounts in retirement gives you control over your taxable income in any given year, which has meaningful impacts on Social Security taxation, Medicare premiums, and ACA eligibility.