Roth vs Traditional 401(k) Calculator
Compare Roth and Traditional 401(k) contributions using salary, contribution rate, employer match, current tax rate, retirement tax rate, and expected return.
Potentially better under assumptionsTraditional
Roth 401(k) value$1,091,925
Traditional 401(k) after-tax value$1,120,660
Traditional pre-tax value$1,436,743
| Contribution limit reference | $24,500 | |
|---|---|---|
| Tax now | 24% | |
| Tax later | 22% |
Assumptions
- Roth and Traditional comparisons depend heavily on future tax rates.
- This simplified model does not handle income eligibility, phaseouts, RMDs, or state tax.
How this calculator works
Formula used
Roth 401(k) contributions are taxed now; Traditional contributions reduce current taxable pay but withdrawals are taxed later.
Example calculation
If retirement tax rates are lower than today, Traditional may have a higher after-tax value under the same contribution assumptions.
Roth vs Traditional 401(k) Calculator FAQ
Are these retirement and investment calculators financial advice?
No. They are educational planning tools for U.S. users and do not replace advice from a qualified financial, tax, legal, or investment professional.
Why can actual investment results be different?
Actual results can differ because market returns vary, taxes change, fees apply, inflation shifts, and account rules may limit contributions or withdrawals.