IRA Definition Whether you are concerned about the basics and need a living expenses calculator, health care expenses calculator or need help understanding how an IRA is structured can assist you in being confident that your needs be met. We have every calculator you will need, so try them TODAY! They are all FREE! Some expenses like mortgage payments may cease but increased health care costs may increase your budget amounts. Calculate current expenses and figure for cost of living increases. Our free online IRA Calculator will help you determine:
How much you need to withdraw each month once you retire to live comfortably
How much you need to contribute each month to maximize employer contribution for monthly retirement withdrawal goal
How you can forecast for your contributions’ affect on your retirement savings can be done through our online 401-K calculator. Simply enter your information in the following fields:
Enter your current IRA balance.
Enter the amount of your contributions per year.
Enter the number of years until your retirement.
Enter the percentage of your expected rate of return (the percentage you anticipate your portfolio to grow)
Enter the marginal tax rate (%) you anticipate to have at retirement.
Click on calculate.
The results will be display the after tax amount worth of your ROTH IRA at retirement.
An Individual Retirement Account (IRA) is a tax-savings account targeted to grow your retirement savings. Here are several different types of Individual Retirement Accounts for your consideration:
Traditional IRAs - Contributions are tax-deductible and based on income level. Withdrawals can occur as early as 59 ½ and mandatory at 70 ½. Earnings aren’t taxable until withdrawn but if withdrawn prior to age 59 ½ there will be a 10% penalty (subject to exception). Funds can be used to purchase such investments like stocks, bonds, certificates of deposit, etc. and anyone can open a traditional IRA as there are no income restrictions.
Roth IRAs – Contributions are not tax deductible; there is no mandatory distribution age; all earnings and principal are 100% tax-free; funds can be used to purchase such investments like stocks, bonds, certificates of deposit, etc. Principal contributions can be withdrawn without penalty (but subject to some minimal conditions).
SEP IRAs – SEP stands for Simplified Employee Pension plan and applies to employers (not limited by number of employees) who want to set up retirement contributions for each eligible employee or if self-employer, to their own retirement account.
SIMPLE IRAs – A Savings Incentive Match Plan for Employees allows for employers (with 100 or fewer employees) to contribute to a traditional IRA account of their employee and match up to 3% of total compensation; or 2% of a “nonelective” contribution (employees may contribute but are not required to receive employer mandated contribution of 2% of compensation); and employee is always 100% vested in all the funds.
Knowing exactly how to manage your IRA will result in your being able to effectively plan for your retirement. Try this FREE financial calculator TODAY!
How to Calculate IRA Let's be honest - sometimes the best ira calculator is the one that is easy to use and doesn't require us to even know what the ira formula is in the first place! But if you want to know the exact formula for calculating ira then please check out the "Formula" box above.