Traditional IRA Calculator: Project a Pre-Tax Retirement Balance

Project how a traditional IRA could grow when funded with pre-tax dollars and left to compound until retirement.

✓ Editorially reviewed Updated May 17, 2026 By Ugo Candido
Investment Details
$
What the traditional IRA holds today.
Default sourced from S&P Dow Jones Indices (as of December 31, 2025).
$
Your estimate $—

Adjust the inputs and select Calculate for a full breakdown.

Compare Common Scenarios

How the numbers shift across typical situations for this calculator:

ScenarioFuture valueTotal contributionsTotal interest earned
$20k · $500/mo · 7% · 25yr$519,544.21$170,000.00$349,544.21
$0 · $400/mo · 8% · 30yr$596,143.78$144,000.00$452,143.78
$80k · $600/mo · 6% · 15yr$370,818.71$188,000.00$182,818.71
$35k · $250/mo · 7% · 20yr$271,587.52$95,000.00$176,587.52

How This Calculator Works

Enter the current IRA balance, the average annual return you expect, the years until retirement, and your monthly contribution. The calculator compounds the balance monthly and adds each contribution, showing the projected balance and the share built by growth.

The Formula

Future Value with Regular Contributions

FV = P(1 + r)^n + PMT · ((1 + r)^n − 1) / r

P = starting amount, PMT = monthly contribution, r = monthly rate (annual ÷ 12), n = number of months

Worked Example

With $20,000 saved, $500 added monthly, and a 7% average return over 25 years, a traditional IRA reaches about $519,500. Contributions account for $170,000; investment growth supplies the other $349,500.

Key Insight

A traditional IRA defers tax: contributions may be deductible now, and growth is untaxed until withdrawal, when it is taxed as income. Required minimum distributions eventually force withdrawals, unlike a Roth IRA.

Frequently Asked Questions

How is a traditional IRA taxed?

Contributions may be tax-deductible in the year they are made, and growth is untaxed until withdrawal. Withdrawals in retirement are then taxed as ordinary income.

How does it differ from a Roth IRA?

A traditional IRA defers tax to retirement; a Roth is funded with after-tax money and qualified withdrawals are tax-free. The traditional suits those expecting a lower future tax rate.

What are required minimum distributions?

From a set age, the IRS requires minimum annual withdrawals from a traditional IRA. They are taxed as income and do not apply to a Roth IRA during the owner's life.

Is there a contribution limit?

Yes. The IRS sets an annual IRA contribution limit, with a higher cap for those 50 and older. Keep your monthly contribution within one-twelfth of the limit.

Are the projected figures before tax?

Yes. The balance is pre-tax. Because withdrawals are taxed as income, the spendable amount in retirement is lower than the projected balance.

Related Calculators

Data Sources & Benchmarks

This calculator draws on 3 independent, dated sources. The starting values for expected annual return are taken from the benchmarks below and refresh whenever the snapshots are updated.

10.30% Provisional
S&P 500 long-run annual return
S&P 500 Index — Long-Run Annualized Total Return
S&P Dow Jones Indices · as of December 31, 2025
View source ↗
4.31% Provisional
10-year U.S. Treasury yield
Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity (DGS10)
Board of Governors of the Federal Reserve System (FRED) · as of May 15, 2026
View source ↗
3.10% Provisional
U.S. inflation, 12-month change
Consumer Price Index for All Urban Consumers — All Items, 12-Month Change
U.S. Bureau of Labor Statistics · as of April 30, 2026
View source ↗

Methodology & Review

Ugo Candido ✓ Editor
Wrote this calculator and is responsible for its methodology and review.

The projection compounds the balance monthly at a constant expected return and adds a fixed monthly contribution. It assumes contributions stay within annual IRS limits and excludes fees and future tax.

Written by Ugo Candido · Last updated May 17, 2026.