Roth vs Traditional: which wins?
Find your breakeven rate.

Compare after-tax retirement values and see the tax rate where both paths break even.

Enter your numbers below to see the winner.
How this is calculated

Roth path: You contribute after-tax dollars. The contribution (already taxed at your current rate) grows tax-free. After-tax value at retirement = contribution × (1 − current rate) × (1 + return)years.

Traditional path: You contribute pre-tax dollars. The full amount grows, then you pay taxes on withdrawal. After-tax value = contribution × (1 + return)years × (1 − retirement rate).

Breakeven rate: The retirement tax rate at which both paths produce the same after-tax value. This equals your current marginal rate — growth rate and years cancel out algebraically.

Last updated 2026-06-03 · Verify · Disclosures · Pairs with /personal-finance/roth-ira/