Roth vs Traditional Calculator
Most comparisons quietly favour the Roth, because they ignore the tax refund a Traditional contribution hands you. This counts it. If your tax rate never changes, the two come out exactly equal - and this shows you that with your own numbers.
The difference
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- Roth, after tax
- $0
- Traditional, after tax
- $0
- Your rate today
- 0%
- What a Traditional lets you put in
- $0
Where the money goes
Each block is sized by its share, so you can see whether roth or traditional is the bigger part without reading a single number.
Move it and watch
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at {v} for your income
And what you can change
Why your own figure may differ
The two ways of comparing, side by side
These give different answers, and knowing which one you are looking at matters more than any other setting on this page.
| Comparing by | Goes into Roth | Goes into Traditional | Roth ends with | Traditional ends with | Winner |
|---|
Same out of pocket: the same money leaves your bank either way, so a Traditional contribution is your amount divided by (1 minus your tax rate). This is the honest test. Same contribution: the same headline number goes in, and the Traditional refund is invested in an ordinary taxable account where its growth is taxed.
Where the answer flips
Your rate today is the tipping point. Below it, the Traditional wins. Above it, the Roth wins. Exactly on it, they tie.
| If your retirement rate is | Roth ends with | Traditional ends with | Difference |
|---|
Roth vs traditional accounts: real examples
Three cases that show what actually decides this. Click any card to load it.
- The result nobody believes
Same tax rate now and later
24% now, 24% in retirement.
The difference is exactly zero. Not close - identical. When your rate does not change, the two accounts are the same account wearing different hats.
Load this scenario in the calculator → - Dropping into a lower rate
High earner now, modest retirement
32% while working, 12% in retirement.
The Traditional wins clearly. you skipped the tax at 32% and pay it at 12%. That gap is the entire argument for a Traditional account.
Load this scenario in the calculator → - Early in your career
Low rate now, higher later
12% today, 24% in retirement.
The Roth wins clearly. Paying tax at the lowest rate you will ever have is exactly when a Roth is worth it.
Load this scenario in the calculator →
Common questions about Roth vs traditional accounts
What is the actual difference between the two?
A Traditional account skips the tax now and charges it later. Money goes in before tax, so you pay less tax this year, and every dollar you take out in retirement is taxed as income. A Roth is the reverse: you pay the tax now, and nothing at all when you take it out. Both grow without being taxed along the way.
Which one is better?
Neither, in general - and any tool that says otherwise is not being straight with you. If your tax rate is the same now as it will be in retirement, they come out exactly equal, to the penny. What decides it is whether your rate goes up or down. Lower later favours Traditional. Higher later favours Roth.
How can they possibly be exactly equal?
Because multiplying does not care what order you do it in. Taking 24% off at the start and then growing the rest gives the same answer as growing the whole thing and taking 24% off at the end. The tool shows this with your own figures - set both tax rates the same and the difference is zero.
Why do most comparisons favour the Roth?
Because they compare the same contribution into each, which is not a fair fight. Putting $7,000 into a Traditional account hands you a tax refund that year, so it costs you less out of your bank account than $7,000 into a Roth. Comparing them without counting that refund quietly stacks the deck. This tool shows both framings so you can see the difference.
What tax rate should I use for retirement?
Nobody knows, and that is the honest answer. Most people have less income in retirement than while working, which points to a lower rate. But tax law changes, and a large Traditional balance forces withdrawals later that can push you up. Try a few rates and see how much it actually moves the answer - often less than you would expect.
Can I just do both?
Yes, and many people do exactly that. Splitting between the two means you are not betting everything on a guess about future tax rates, and it gives you some control in retirement over which pot you draw from. That flexibility has real value that no calculator captures.
The guide behind this calculator
Tax brackets and standard deductions are for the 2026 tax year, read from Revenue Procedure 2025-32, Section 4.01 (Tax Rate Tables). Checked 2026-08-17.