Roth IRA Details

Required Inputs

Current Age

Retirement Age

Annual Contribution

2025 limit: $7,000 ($8,000 if 50+)

Expected Annual Return (%)

Optional Inputs

Current Roth IRA Balance

Current Tax Bracket (%) You pay taxes now on contributions

📊 Monte Carlo Simulation

Enable probabilistic modeling (10,000 scenarios) Model market volatility to see range of possible Roth IRA outcomes

Roth IRA Projection

Tax-Free Balance

Total Contributions

Tax-Free Gains

Taxes Avoided

Years to Retirement

After-Tax Contributions

Understanding Roth IRAs

What is a Roth IRA?

A Roth IRA is funded with after-tax dollars. While contributions aren't tax-deductible, your money grows tax-free and qualified withdrawals in retirement are completely tax-free!

2025 Contribution Limits

Under 50: $7,000 per year

Age 50+: $8,000 per year (includes $1,000 catch-up)

Income limits apply - phaseouts begin at $146K (single) / $230K (married)

Must have earned income to contribute

Key Advantages

Tax-free withdrawals in retirement (after age 59½)

Tax-free growth - never pay taxes on investment gains

No RMDs - not required to take withdrawals at any age

Can withdraw contributions (not earnings) anytime penalty-free

Great hedge against future tax increases

Roth vs Traditional IRA

Roth: Pay taxes now, tax-free later

Traditional: Tax deduction now, pay taxes later

Roth better if you expect higher taxes in retirement

Can have both - same contribution limits apply combined

Roth IRA Calculator

Roth IRA Details

Required Inputs

Optional Inputs

📊 Monte Carlo Simulation

📊 Monte Carlo Simulation Parameters

Roth IRA Projection

📊 Monte Carlo Analysis Results

🎯 Target Goal Analysis

📈 Probability Cone Visualization

📊 Distribution of Final Outcomes

📈 Percentile Data by Year

Understanding Roth IRAs

What is a Roth IRA?

2025 Contribution Limits

Key Advantages

Roth vs Traditional IRA