Roth 401(k) vs. Traditional 401(k)

Choosing between a Roth 401(k) and a Traditional 401(k) often comes down to one key question: when do you expect to pay a lower tax rate? Use this calculator to compare the potential future values of each account type based on your contribution amount, time horizon, expected rate of return, and tax rates.

Inputs

Remember, these results are hypothetical and for illustrative purposes only and do not represent the performance of any specific investment.

$0 $100,000
1 50
%

Results

Future Value of Roth 401(k)
$ 883,609
Future Value of Traditional 401(k)
$ 1,132,832
After-Tax Value of Traditional 401(k)
$ 883,609

Have A Question About This Topic?

Thank you! Oops!

Related Content

Retirement and Quality of Life

Retirement and Quality of Life

Asking the right questions about how you can save money for retirement without sacrificing your quality of life.

Medicare vs. Medicaid

Medicare vs. Medicaid

The terms Medicare and Medicaid sound similar but are two very different things. Learn the differences in this informative article.

The Power of 401k Catch-Ups

The Power of 401k Catch-Ups

See how catch-up contributions after age 50 could significantly boost your retirement balance.