Roth Conversion Calculator | Life Calculators

Amount to Convert ?How much Traditional IRA / 401(k) money you're considering converting to Roth this year. The full amount is taxed at your current marginal rate.

Current Marginal Tax Rate ?Your current marginal federal+state tax rate. The conversion is taxed at this rate now.

Future Retirement Tax Rate ?Your expected marginal rate when you withdraw in retirement. If you expect rates to rise (likely given the federal deficit), use a higher number.

Years Until Withdrawal ?How long the converted Roth dollars will grow tax-free before you tap them. Longer time horizons amplify the Roth advantage.

years

Annual Return ?Expected annual investment return on the converted balance.

Net Benefit of Converting

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Important notes about this calculator

Assumes a single flat tax rate at conversion and at withdrawal. Real conversions can trigger: (1) IRMAA surcharges for 2 years, (2) Social Security benefits becoming up to 85% taxable, (3) bracket creep if the conversion pushes you into a higher bracket, (4) loss of ACA premium subsidies. The optimal strategy is multi-year — fill up your current bracket each year — not one large conversion. Talk to a CPA before converting more than ~$50K.