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Backdoor Roth Pro-Rata Calculator
Retirement Planner

Backdoor Roth Pro-Rata Calculator: How Much Tax Your Pre-Tax IRA Triggers

A backdoor Roth is only tax-free if you hold no pre-tax money in any Traditional, SEP, or SIMPLE IRA. If you do, the IRS pro-rata rule (Form 8606) taxes a slice of every conversion — and that slice can be most of it. This calculator shows the taxable portion, the tax you'll owe, and how much you'd save by rolling the pre-tax balance into a 401(k) before you convert. 2026 figures, computed entirely in your browser.

Pro-rata tax calculator

Enter your IRA balances and the conversion you plan to make. The pro-rata rule pools all of your Traditional/SEP/SIMPLE IRAs together — 401(k) balances are excluded.

After-tax money you put into a Traditional IRA (2026 limit: $7,500, or $8,600 if 50+)
Deductible/rollover money in all Traditional, SEP & SIMPLE IRAs. Exclude 401(k)s.
Nondeductible contributions from past years not yet converted (Form 8606 line 14)
Usually equals your contribution in a clean backdoor Roth
Sets the 2026 brackets and standard deduction
Wages, etc. before deductions. The conversion stacks on top — exact 2026 bracket-fill tax, not a flat rate.
Tax-free fraction
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Taxable portion of conversion
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Federal tax owed
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Effective rate on conversion
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Marginal bracket(s) spanned
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Form 8606 stepAmount

Multi-year rolling backdoor projection

If you leave the pre-tax balance in place and contribute + convert every year, the pro-rata drag compounds — the pre-tax pool keeps growing and each year's conversion stays partly taxable. This projects the cumulative tax versus the clean (rolled-into-401k) path, using the filing status and other income from the calculator above to stack each year's tax through the exact 2026 brackets. Deterministic, computed in your browser.

Why the backdoor Roth surprises high earners

The backdoor Roth is the standard workaround for people who earn too much to contribute to a Roth IRA directly (above roughly $168,000 single / $252,000 married filing jointly in 2026). You put after-tax money into a Traditional IRA, then convert it to Roth. In a clean setup the conversion is tax-free, because you already paid tax on the contribution.

The trap is the pro-rata rule. The IRS does not let you convert "just" the after-tax dollars. It pools every Traditional, SEP, and SIMPLE IRA you own and treats each converted dollar as the same blend of after-tax and pre-tax money. So if you have an old rollover IRA from a former 401(k) sitting alongside your new nondeductible contribution, most of your "tax-free" backdoor Roth is suddenly taxable ordinary income.

The pro-rata formula (IRS Form 8606)

Two numbers drive everything:

  • Total after-tax basis — this year's nondeductible contribution plus any prior basis you haven't converted.
  • Total IRA value — the December 31 balance of all your Traditional + SEP + SIMPLE IRAs, including the new contribution. 401(k)s are excluded.

The non-taxable fraction is basis ÷ total IRA value. Whatever you convert, that fraction comes out tax-free and the rest is taxed as ordinary income:

Taxable portion = Conversion × ( 1 − basis ÷ total IRA value )

The calculator above does this for your numbers, then stacks the taxable portion on your other income through the exact 2026 federal brackets (Rev. Proc. 2025-32) — so if the conversion straddles a bracket, you see the true blended tax, not a flat rate. The key insight: the bigger your pre-tax balance, the smaller the tax-free fraction — and a $7,500 contribution on top of a six-figure pre-tax balance is taxed almost in full.

The fix: roll the pre-tax IRA into a 401(k) first

Because employer plans are excluded from the pro-rata pool, the clean fix is to move your pre-tax IRA money out of the IRA system entirely — into your current employer's 401(k), or a solo 401(k) if you're self-employed, provided the plan accepts incoming rollovers. Do this before December 31 of the conversion year, because the pro-rata test uses your year-end IRA balance.

Once the pre-tax balance is zero, your only IRA money is the after-tax contribution, the non-taxable fraction is 100%, and the backdoor Roth is tax-free again. The "what-if" line in the calculator shows exactly what that rollover saves you this year, and the multi-year projection shows the compounding payoff if you do the backdoor Roth annually.

Worked examples (2026, $7,500 contribution)

Each example assumes a $7,500 nondeductible contribution (the 2026 IRA limit under 50) and a $7,500 conversion at a 24% marginal rate, with no prior basis:

Pre-tax IRA balanceTax-free fractionTaxable portionTax owed (24%)
$0 (clean backdoor)100%$0$0
$25,00023.1%$5,769$1,385
$50,00013.0%$6,522$1,565
$100,0007.0%$6,977$1,674
$150,0004.8%$7,143$1,714
$200,0003.6%$7,229$1,735
$300,0002.4%$7,317$1,756

Notice how fast the tax-free fraction collapses. Past about $100,000 of pre-tax money, your backdoor Roth is effectively a fully taxable conversion — which is fine if you intended a conversion, but a costly surprise if you expected it to be free.

Frequently Asked Questions

What is the pro-rata rule for a backdoor Roth?

When you convert from a Traditional IRA to a Roth, the IRS treats every dollar as a proportional mix of your after-tax basis and pre-tax balance across all your Traditional, SEP, and SIMPLE IRAs. You can't cherry-pick only the after-tax money, so any pre-tax balance makes part of your backdoor Roth taxable.

Do 401(k) balances count toward the pro-rata rule?

No. 401(k), 403(b), and most solo 401(k) balances are excluded. Only Traditional, SEP, and SIMPLE IRAs count. That exclusion is exactly why rolling a pre-tax IRA into a 401(k) before converting removes the pro-rata tax.

How do I avoid the pro-rata tax on a backdoor Roth?

Roll your entire pre-tax Traditional/SEP/SIMPLE IRA balance into an employer 401(k) that accepts roll-ins before December 31 of the conversion year. That zeroes the pre-tax pool, leaving only your after-tax contribution, so the full conversion is tax-free.

Is the backdoor Roth conversion reversible?

No. Since the 2017 Tax Cuts and Jobs Act, Roth conversions are irrevocable — you can't recharacterize a conversion back to a Traditional IRA. Clear any pre-tax balance before you convert, because you can't undo a conversion that triggered an unexpected pro-rata bill.

Plan the whole conversion picture, not just one year

A backdoor Roth is one piece. QuantCalc models conversions against tax brackets, the ACA cliff, IRMAA surcharges, and RMDs across 10,000 market paths — so you can see the full multi-year tax arc.

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