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Backdoor Roth Calculator

Calculate your backdoor Roth conversion tax with the pro-rata rule, find your mega backdoor 401(k) space, and walk through Form 8606 line by line. 2026 limits and OBBBA rules built in.

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Used to determine Roth IRA eligibility
50+ gets $8,600 catch-up limit
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All Traditional, SEP, SIMPLE IRAs combined. $0 = clean backdoor (no pro-rata tax).
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2026 limit: $7,500 (under 50) / $8,600 (50+)
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CA: 9.3%, NY: 6.85%, TX/FL: 0%

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How to Use This Calculator

Backdoor Roth tab

The default tab. Enter your MAGI, filing status, age, and existing Traditional IRA balance. The calculator determines whether you need a backdoor Roth (based on income limits), computes the pro-rata rule tax on conversion, and projects your Roth value at retirement versus a taxable brokerage account. If your existing IRA balance is $0, you get a "clean" backdoor with zero conversion tax.

Mega Backdoor tab

For high earners with generous 401(k) plans. Enter your salary, employer match, and 401(k) contribution. The calculator subtracts your employee + employer contributions from the 415(c) limit ($72,000) to show how much after-tax space remains. Both after-tax contributions and in-service conversions must be allowed by your plan — check with HR if unsure.

Form 8606 tab

Walks through the actual IRS Form 8606 line by line. Enter your total Traditional IRA balance (Dec 31), prior year basis, current contribution, and conversion amount. The calculator shows the pro-rata fraction, taxable and nontaxable portions, and remaining basis carried forward. Use this to prepare your tax return.

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Every input is encoded in the URL. Click Share to send your exact scenario to a spouse, financial advisor, or CPA.

The Formula

The backdoor Roth strategy involves two steps: a nondeductible Traditional IRA contribution followed by a Roth conversion. The pro-rata rule determines how much of the conversion is taxable.

Pro-Rata Ratio = Nondeductible Basis ÷ Total IRA Balance

Nontaxable Portion = Conversion Amount × Pro-Rata Ratio
Taxable Portion = Conversion Amount − Nontaxable Portion

Conversion Tax = Taxable Portion × (Federal Rate + State Rate)

Mega Backdoor Space = 415(c) Limit − Employee Deferrals − Employer Match

The pro-rata rule (IRC 408(d)(2)) aggregates all Traditional, SEP, and SIMPLE IRA balances. You cannot isolate just the nondeductible portion for conversion. If you have $0 in existing IRAs, the entire conversion is nontaxable — the ideal "clean" backdoor.

For mega backdoor, the 415(c) limit ($72,000 in 2026) caps total contributions: employee elective deferrals + employer match + after-tax contributions. The remaining space is your mega backdoor opportunity.

Example

David — Software Engineer, 38, San Francisco CA

David earns $250,000 (single), has $0 in existing Traditional IRAs, and his employer offers a 401(k) with 4% match, after-tax contributions, and in-service conversions. California state tax: 9.3%.

Backdoor Roth tab

MAGI$250,000
Roth IRA limit (single)$153,000 – $168,000
Needs backdoor?Yes
Existing IRA balance$0 (clean)
Pro-rata taxable portion$0
Conversion tax$0
Roth value in 27 years (7%)$544,826

With no existing IRA balances, David pays $0 tax on the conversion. His $7,500 annual backdoor Roth contribution grows to $544K tax-free by age 65.

Mega Backdoor tab

415(c) limit$72,000
Employee deferral$24,500
Employer match (4%)$10,000
Mega backdoor space$39,000
Roth value in 27 years$3,034,178

David can contribute $39,000/year in after-tax 401(k) and convert to Roth. Combined with his regular backdoor Roth, that is $46,000/year into Roth accounts — growing to over $3.5M tax-free.

FAQ

A backdoor Roth is a two-step strategy for high earners who exceed the Roth IRA income limits. You contribute to a nondeductible Traditional IRA (no income limit), then immediately convert to a Roth IRA (also no income limit on conversions). The result is money in a Roth IRA that grows and is withdrawn tax-free in retirement.
The pro-rata rule (IRC 408(d)(2)) requires the IRS to treat all your Traditional, SEP, and SIMPLE IRA balances as one pool when you convert. If you have $93,000 in pre-tax IRA funds and make a $7,500 nondeductible contribution, only 7% of any conversion is nontaxable. The fix: roll your pre-tax IRA into a 401(k) before doing a backdoor Roth, leaving your IRA balance at $0.
A mega backdoor Roth uses after-tax 401(k) contributions (beyond the normal $24,500 employee limit) that are converted to Roth. The total 401(k) limit under IRC 415(c) is $72,000 in 2026. After subtracting your employee deferrals and employer match, the remaining space can be filled with after-tax contributions and converted to Roth. Not all plans offer this — your plan must allow both after-tax contributions and in-service Roth conversions.
No. The earlier House version of the bill (Build Back Better Act) included a provision to ban backdoor Roth conversions for high earners, but that provision was removed from the final OBBBA law. Both the regular backdoor Roth and mega backdoor Roth remain legal strategies in 2026 and beyond.
Yes. You must file Form 8606 for every year you make a nondeductible Traditional IRA contribution or convert Traditional IRA funds to Roth. The form tracks your nondeductible basis so you don’t get taxed twice. Failure to file can result in a $50 penalty per form and, more importantly, you lose the ability to prove your basis — meaning the IRS may tax the full conversion amount.

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