Plan year-by-year Roth conversions that fill your tax bracket, track the 5-year unlock schedule, and compare total tax against early withdrawals with the 10% penalty.
Calculate your Roth conversion ladder: how much to convert each year to fill your chosen tax bracket, when each conversion becomes penalty-free under the 5-year rule, and the tax saved vs early withdrawals.
Get access to all premium financial simulators, save up to 10 scenarios per tool, and shareable scenario links.
Starting at $7.99/month · Cancel anytime
A strategy for accessing Traditional 401(k)/IRA money before age 59½ without the 10% early-withdrawal penalty. Each year you convert a slice of your Traditional balance to Roth, paying ordinary income tax on it — ideally in low-income years when the tax is small. After a 5-year wait, each converted amount can be withdrawn penalty-free.
IRS rules make each Roth conversion's principal penalty-free only after 5 tax years. That means a ladder needs a 5-year head start — you fund the first 5 years of early retirement from taxable savings or other income while the first rungs season.
No. The calculator models federal income tax only, holds one year's bracket figures constant across all ladder years, and ignores state tax, ACA subsidies, and IRMAA. It shows the mechanics and rough magnitudes — confirm any real conversion plan with a tax professional.