401(k) vs. Roth IRA Contribution Planner
Compare potential retirement outcomes based on your inputs (USA-focused accounts).
1. Your Profile & Assumptions
Before any taxes.
Combined federal/state for income reduction/Roth contribution cost.
For 401(k) withdrawals.
Enter the total dollar amount your employer would match annually if you contribute the earmarked amount (or up to their limit).
Important Assumptions for this Illustration
- This tool provides hypothetical illustrations for US-based accounts (Traditional 401(k), Roth IRA) and is NOT financial or tax advice.
- Tax laws (federal US), contribution limits, and investment returns are assumed constant. State taxes are not explicitly included unless factored into your marginal rates.
- **Traditional 401(k):** The "Earmarked Pre-Tax Income" is contributed directly. Growth is tax-deferred. Withdrawals are taxed at your "Retirement Tax Rate."
- **Roth IRA:** The "Earmarked Pre-Tax Income" is first taxed at your "Current Marginal Tax Rate." The remaining net amount is contributed. Growth and qualified withdrawals are tax-free.
- Annual contributions are assumed to be made at the start of each year.
- Actual 401(k) and Roth IRA contribution limits, income phase-outs, and specific plan rules are NOT considered. The tool assumes you are eligible to contribute the calculated amounts.