🏦 IRA Calculator: Project Your Retirement Savings Growth
By Shihab Mia · Reviewed by ToolNimba Review Team, personal finance content review · Updated 2026-08-01
This IRA calculator gives an estimate for planning only and is not financial, tax or investment advice. Real returns vary year to year, markets can fall, and tax rules change. Confirm contribution limits, income eligibility and your own strategy with a qualified financial adviser or tax professional.
2026 IRA contribution limit: $7,000 if you are under age 50, or $8,000 if you are 50 or older (the extra $1,000 is the catch-up contribution). The IRA type select is informational only and does not change the projection math.
An IRA (Individual Retirement Account) is one of the most powerful ways to save for retirement, and this IRA calculator shows how yours could grow over the years ahead. Enter your current balance, how much you contribute each year, your age, your target retirement age and an expected annual return, and it projects your balance at retirement along with how much of that came from your own contributions versus investment growth. It works for both Traditional and Roth IRAs, since the growth math is the same and only the tax treatment differs.
What is the IRA Calculator?
An IRA is a tax-advantaged account designed to help everyday savers build a retirement nest egg outside of, or alongside, a workplace plan. The two main flavors are the Traditional IRA, where contributions may be tax-deductible now and withdrawals are taxed later as ordinary income, and the Roth IRA, where you contribute after-tax dollars now and qualified withdrawals in retirement are completely tax-free. This IRA calculator projects the same underlying growth for both account types, because the difference between them is about when you pay tax, not how the balance compounds.
The projection uses the standard future value formula for a starting lump sum plus a stream of yearly contributions. Your current balance grows by compounding at your expected return for every year until retirement, and each annual contribution also grows for the years it stays invested. Adding these together gives the projected balance. The calculator then splits that total into two parts: total contributed, which is your starting balance plus every dollar you add, and total investment growth, which is everything the market earned on top. Seeing growth as its own number makes the power of compounding obvious, because over a few decades the growth often dwarfs the contributions.
Contribution limits matter because the IRS caps how much you can add each year. For 2026, the IRA contribution limit is 7,000 dollars if you are under age 50, or 8,000 dollars if you are 50 or older, with the extra 1,000 dollars known as the catch-up contribution. Those limits apply across all your IRAs combined, not per account, so a Traditional and a Roth IRA opened by the same person still share one limit. This IRA calculator does not enforce these caps, so you can model any contribution, but staying within the limit keeps your plan realistic and avoids excess-contribution penalties.
Roth IRA eligibility also depends on income, which is a common source of confusion this IRA calculator cannot check for you. For 2026, single filers can contribute the full amount if modified adjusted gross income (MAGI) is under 153,000 dollars, with the ability to contribute phasing out completely at 168,000 dollars. Married couples filing jointly can contribute fully under 242,000 dollars of MAGI, phasing out at 252,000 dollars. Above the income limit, a backdoor Roth conversion is the usual workaround, though that involves its own tax rules. Traditional IRA contributions have no income cap, but the tax deduction can phase out if you or your spouse is also covered by a workplace retirement plan.
Withdrawal rules are the other half of the picture that a pure growth projection leaves out. Take money out of either IRA type before age 59 and a half and you generally owe a 10 percent early withdrawal penalty on top of any tax due, with some exceptions such as a first home purchase or certain medical expenses. Traditional IRA owners must also start taking required minimum distributions (RMDs) at age 73 under current law, whether they need the income or not, while Roth IRAs carry no RMDs during the original owner's lifetime. None of that changes the compounding math this IRA calculator performs, but it does affect how much of the projected balance you actually get to keep and when.
The biggest lever in any IRA projection is time, followed by your contribution amount and your return assumption. A small change in expected return compounds dramatically over thirty or forty years, so it is wise to use a conservative, realistic figure rather than an optimistic one. Many planners model long-run stock-heavy returns somewhere around 6 to 8 percent before inflation. Run the numbers at a few different return rates in this IRA calculator to see a sensible range rather than a single confident figure.
When to use it
- Projecting how large your Traditional or Roth IRA could grow by your target retirement age.
- Seeing how much of your future balance comes from contributions versus compounding growth.
- Comparing different annual contribution amounts to decide how much to save each year.
- Testing how a higher or lower expected return changes your projected retirement nest egg.
- Checking whether maxing out the annual IRA contribution limit meaningfully changes your outcome versus contributing less.
- Deciding how many extra years of work would be needed to reach a specific retirement savings target.
How to use the IRA Calculator
- Enter your current IRA balance and the amount you plan to contribute each year.
- Enter your current age and the age at which you want to retire.
- Set an expected annual return, then choose Traditional or Roth (informational only, since the growth math is identical).
- Read your projected balance, total contributed and total investment growth.
- Adjust the inputs to compare scenarios, and use the reference tables below to sanity-check your assumptions against typical IRA contribution limits and growth ranges.
Formula & method
Worked examples
You are 30, retiring at 65, with $10,000 saved, adding $7,000 a year at an expected 7% return.
- years = 65 minus 30 = 35, and r = 7 divided by 100 = 0.07
- (1+r)^years = 1.07^35 which is about 10.677
- balance growth = 10,000 times 10.677 = about $106,770
- contribution growth = 7,000 times ((10.677 minus 1) divided by 0.07) = about $967,700
- future value = 106,770 plus 967,700 = about $1,074,500
Result: Projected balance about $1,074,500, total contributed $255,000, growth about $819,500
You are 45, retiring at 65, with $50,000 saved, adding $8,000 a year at an expected 6% return.
- years = 65 minus 45 = 20, and r = 6 divided by 100 = 0.06
- (1+r)^years = 1.06^20 which is about 3.207
- balance growth = 50,000 times 3.207 = about $160,357
- contribution growth = 8,000 times ((3.207 minus 1) divided by 0.06) = about $294,290
- future value = 160,357 plus 294,290 = about $454,650
Result: Projected balance about $454,650, total contributed $210,000, growth about $244,650
You are 55, retiring at 67, with $150,000 saved, adding the 50-plus catch-up limit of $8,000 a year at an expected 5% return.
- years = 67 minus 55 = 12, and r = 5 divided by 100 = 0.05
- (1+r)^years = 1.05^12 which is about 1.796
- balance growth = 150,000 times 1.796 = about $269,400
- contribution growth = 8,000 times ((1.796 minus 1) divided by 0.05) = about $127,360
- future value = 269,400 plus 127,360 = about $396,760
Result: Projected balance about $396,760, total contributed $246,000, growth about $150,760
2026 IRA contribution limits
| Your age | Annual limit | Catch-up included |
|---|---|---|
| Under 50 | $7,000 | None |
| 50 or older | $8,000 | $1,000 catch-up |
Projected balance of a $7,000 yearly contribution starting from $0, by years and return
| Years invested | 5% return | 7% return | 9% return |
|---|---|---|---|
| 10 years | $92,300 | $103,000 | $115,200 |
| 20 years | $243,300 | $306,900 | $390,500 |
| 30 years | $489,000 | $707,000 | $1,041,000 |
| 40 years | $889,000 | $1,495,000 | $2,650,000 |
Traditional IRA versus Roth IRA at a glance
| Feature | Traditional IRA | Roth IRA |
|---|---|---|
| Tax treatment | Contributions may be deductible now | Contributions are after-tax |
| Withdrawals in retirement | Taxed as ordinary income | Tax-free if qualified |
| Income limit to contribute | None | Phases out above 2026 MAGI limits |
| Required minimum distributions | Start at age 73 | None for the original owner |
| Early withdrawal penalty | 10% before 59 1/2, with exceptions | 10% on earnings before 59 1/2, with exceptions |
Common mistakes to avoid
- Assuming an unrealistically high return. Plugging in 10 or 12 percent makes the projection look great but sets a false expectation. Long-run stock returns vary widely and include down years. Model a conservative figure around 6 to 7 percent in this IRA calculator and treat the result as one scenario, not a promise.
- Ignoring the annual contribution limit. The 2026 IRA limit is 7,000 dollars under 50 and 8,000 dollars at 50 or older, across all your IRAs combined. Modeling a larger contribution in an IRA calculator gives a balance you legally cannot reach in a single tax year, so keep contributions within the cap for a realistic plan.
- Forgetting that the projection ignores inflation and tax. A million dollars in 35 years will not buy what a million buys today, and a Traditional IRA is taxed on withdrawal. The figure here is a nominal pre-tax estimate, so mentally discount it for inflation and remember the tax treatment of your account type.
- Confusing Traditional and Roth growth. The balances compound identically in this tool, so the projected number is the same for both. The real difference is tax timing: Roth withdrawals are tax-free in retirement while Traditional withdrawals are taxed. Choose based on your tax situation, not the projected balance.
- Not checking Roth income limits before planning around a Roth IRA. This calculator will happily project Roth growth for any income level, but the IRS will not let you contribute directly once your MAGI clears the 2026 phase-out range, roughly 153,000 to 168,000 dollars single or 242,000 to 252,000 dollars married filing jointly. Check your eligibility before building a plan around Roth contributions at that income.
- Overlooking required minimum distributions from a Traditional IRA. A large projected Traditional IRA balance is not fully discretionary once you reach age 73, since RMDs force withdrawals, and therefore taxable income, whether you need the cash or not. If avoiding forced withdrawals matters to you, factor that into whether a Traditional or Roth IRA fits your retirement plan.
Glossary
- IRA
- Individual Retirement Account, a tax-advantaged account for saving toward retirement.
- Traditional IRA
- An IRA where contributions may be tax-deductible now and withdrawals are taxed as income in retirement.
- Roth IRA
- An IRA funded with after-tax dollars where qualified withdrawals in retirement are tax-free.
- Catch-up contribution
- An extra 1,000 dollars per year that savers age 50 and older may add to an IRA on top of the standard limit.
- Compounding
- Earning returns on both your contributions and on the returns those contributions previously earned.
- Future value
- The projected worth of your account at retirement after years of contributions and compounding growth.
- Modified adjusted gross income (MAGI)
- The income figure the IRS uses to determine whether you are eligible to contribute to a Roth IRA and at what amount.
- Required minimum distribution (RMD)
- The minimum amount a Traditional IRA owner must withdraw each year starting at age 73 under current law.
Frequently asked questions
How much will my IRA be worth at retirement?
It depends on your balance, yearly contribution, years until retirement and return. As an example, starting with 10,000 dollars and adding 7,000 a year for 35 years at a 7 percent return projects to roughly 1.07 million dollars. Enter your own numbers into this IRA calculator to see a personalized estimate, and try a few return rates for a realistic range.
What is the 2026 IRA contribution limit?
For 2026 you can contribute up to 7,000 dollars if you are under age 50, or 8,000 dollars if you are 50 or older, where the extra 1,000 dollars is the catch-up contribution. This limit applies to all of your IRAs combined, not to each account separately.
Is the projection different for a Roth IRA versus a Traditional IRA?
No, the projected balance is identical because both accounts compound the same way. The real difference is tax: Traditional IRA withdrawals are taxed as income in retirement, while qualified Roth IRA withdrawals are tax-free. Pick the account type based on your tax situation, not the projected number.
What return rate should I use in an IRA calculator?
Use a realistic, conservative figure rather than an optimistic one. Many planners model long-run stock-heavy returns around 6 to 8 percent before inflation, with bond-heavy portfolios lower. Because small differences compound over decades, it is smart to run this IRA calculator at a few rates to see a sensible range.
Does this calculator account for inflation and taxes?
No. It produces a nominal, pre-tax estimate. The future balance will buy less than the same amount today because of inflation, and a Traditional IRA is taxed when you withdraw. Treat the result as a planning figure and discount it mentally for inflation and your account's tax treatment.
Can I contribute to an IRA if I have a 401(k)?
Yes, having a workplace plan like a 401(k) does not stop you from also contributing to an IRA. It can, however, affect whether your Traditional IRA contribution is tax-deductible, and Roth IRAs have their own income limits regardless of workplace coverage. Check current IRS rules or ask a tax professional for your specific situation.
What is the Roth IRA income limit for 2026?
For 2026, single filers can contribute the full Roth IRA amount if MAGI is under 153,000 dollars, phasing out completely at 168,000 dollars. Married couples filing jointly can contribute fully under 242,000 dollars of MAGI, phasing out at 252,000 dollars.
What happens if I withdraw from an IRA before age 59 and a half?
Early withdrawals generally trigger a 10 percent penalty on top of any income tax owed, with limited exceptions such as a first home purchase, certain medical bills or higher education costs. This IRA calculator projects growth only and does not account for penalties on early withdrawals.
Do I have to take required minimum distributions from an IRA?
Traditional IRA owners must begin required minimum distributions at age 73 under current law, whether the money is needed or not. Roth IRAs have no required minimum distributions for the original account owner, which is one reason some savers prefer Roth for long-term, legacy-focused planning.
Can I have both a Roth IRA and a Traditional IRA at the same time?
Yes, you can contribute to both in the same year, but your combined contributions across both accounts cannot exceed the single annual IRA limit, which is 7,000 dollars under age 50 or 8,000 dollars at 50 or older for 2026.
Sources
- Retirement topics, IRA contribution limits , U.S. Internal Revenue Service
- Amount of Roth IRA contributions that you can make for 2026 , U.S. Internal Revenue Service
- Individual Retirement Account (IRA): What It Is, How It Works , Investopedia