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Traditional IRA vs Brokerage Account

Compare tax-deferred growth in an IRA against taxable investment growth in a brokerage account.

Your Information

Timeline

35 years
18 years70 years
65 years
36 years80 years
90 years
66 years100 years

Savings

$50,000
$0$500,000
$6,500
$0$30,000
7%
1%12%

Tax Rates

24%
10%37%
22%
10%37%
15%
0%20%

Retirement Withdrawals

$50,000
$10,000$200,000

Traditional IRA

Total Contributions$245,000
Total Growth$3,219,259
Net Taxes-$364,804
Net to You$1,459,324

Brokerage Account

Total Contributions$245,000
Total Growth$3,147,673
Net Taxes-$272,650
Net to You$1,118,580

Traditional IRA provides more retirement income

$340,743 more (30.5%) over your retirement

+30.5%

Projections

Year-by-Year Projection

AgeIRA BalIRA TaxBrok BalBrok Tax
36$60,455+$1,560$60,336-$1,679
41$124,788+$1,560$123,549-$1,803
46$215,018+$1,560$211,341-$1,976
51$341,570+$1,560$333,270-$2,215
56$519,065+$1,560$502,610-$2,548
61$768,012+$1,560$737,797-$3,011
66$1,060,219-$11,000$1,007,493-$6,660
71$1,199,475-$11,000$1,112,915-$7,251
76$1,384,528-$12,504$1,259,328-$7,816
81$1,547,325-$17,229$1,462,674-$8,416
86$1,628,820-$23,476$1,745,089-$9,115
90$1,593,331-$29,080$2,048,243-$9,797

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Disclaimer: This calculator provides estimates for illustrative purposes only. Actual results will vary based on market performance, tax law changes, and individual circumstances. Consult with a qualified financial professional before making investment decisions.