401(k) Rollover Calculator

Run side-by-side projections for your current 401k balance. Include fees, transfer costs, and tax scenarios. Download reports instantly and plan your next step wisely.

Inputs

Enter your estimates, then calculate and export your report.
Balance currently in your former employer plan.
Used for time horizon and penalty checks.
Projection runs until this age.
Before fees; long-term estimate.
Plan-level fund and admin costs.
Transfer, closing, or processing fees.
Affects taxes now and taxes later.
Expected return for the destination account.
Ignored for taxable cash-out scenario.
Used for Roth conversion or cash-out taxes.
Used to estimate after-tax withdrawals.
Applies to cash-out if under age 59½.
Approximate annual reduction from dividends/capital gains taxes.
Used only for "real" after-tax columns.
Adds "Real" columns in the schedule and chart.

Example Data Table

Use this sample to see how inputs flow into results.

Item Example Value Notes
Current balance$75,000Old plan account value today
Current age35Projection begins now
Retirement age6530-year horizon
Old return / expense7.00% / 0.80%Gross return and annual costs
New return / expense7.00% / 0.30%Lower fees can improve compounding
Rollover cost$75One-time fee reduces starting principal
Taxes (now / retirement)24% / 22%Used for Roth conversion or withdrawals
OutputAfter-tax at retirementCompare baseline versus rollover scenario

Formula Used

  • Annual growth with fees: Balancet = (Balancet-1 × (1 + r)) − Feet
  • Annual fee estimate: Feet = Balancet × e
  • After-tax at retirement: Net = PreTax × (1 − Tret)
  • Roth conversion today: TaxesNow = Balance × Tnow; Start = Balance − TaxesNow − Costs
  • Cash-out today (if under 59½): Penalty = Balance × p; Start = Balance − TaxesNow − Penalty − Costs
  • Real (inflation-adjusted): RealValue = Nominal ÷ (1 + i)Years

Where r is expected gross return, e is expense ratio, Tnow is current tax rate, Tret is retirement tax rate, p is penalty, and i is inflation.

How to Use This Calculator

  1. Enter your current balance, age, and expected retirement age.
  2. Estimate returns and expense ratios for current and destination accounts.
  3. Select a rollover type: direct rollover, Roth conversion, or cash-out.
  4. Set tax assumptions, plus optional inflation and taxable tax-drag.
  5. Press Calculate to view results above the form.
  6. Use Download CSV or Download PDF to share.
Tip: Rollover rules can be complex. Consider a qualified tax or benefits professional for personalized guidance.

Inputs That Drive Rollover Outcomes

This calculator starts with today's balance, ages, and two return-and-fee assumptions. A $75,000 balance at age 35 with retirement at 65 implies 30 compounding years. If both portfolios earn 7.00% gross, the cost structure becomes the dominant differentiator. One-time rollover costs reduce the investable principal immediately, so even small fees matter.

Fees and Compounding Sensitivity

Annual expenses are modeled as a percentage of the end-of-year balance. A shift from 0.80% to 0.30% is a 0.50% spread each year. Over long horizons, that spread compounds on top of itself: fees reduce the base that earns future returns. The schedule table shows yearly fee dollars and cumulative totals so you can quantify the drag.

Direct Rollover Versus Roth Conversion

A direct rollover keeps the account pre-tax, so the retirement tax rate applies to withdrawals. A Roth conversion assumes taxes are paid upfront at the current marginal rate, reducing the starting principal but potentially delivering tax-free qualified withdrawals later. When current and retirement tax rates differ, the calculator reveals the implicit "tax rate trade."

Cash-Out Scenario and Tax Drag

Cash-outs are often the most expensive path. If you are under 59½, the model applies an early withdrawal penalty on top of current taxes. The remaining proceeds are assumed to grow in a taxable account, where "tax drag" reduces the effective annual return. Entering a 1.00% drag models recurring dividend and capital-gain friction.

Break-Even Interpretation and Decision Use

Break-even is the first year when the rollover scenario's after-tax value reaches or exceeds the baseline under the same retirement tax rate assumption. A break-even year that never arrives suggests the upfront tax or penalty cost dominates. A short break-even indicates lower ongoing fees or better returns can repay the initial hit.

Reporting, Exports, and Auditability

Use the Plotly chart to visualize the after-tax paths, then export CSV for spreadsheets or PDF for documentation. The summary table lists all assumptions, including inflation for "real" comparisons. Treat outputs as planning estimates and validate rules with your benefits administrator and a tax professional in your records for future reference in practice.

FAQs

1) What does a direct rollover represent?

A direct rollover moves pre-tax assets to another qualified account without current taxation. This calculator models taxes only at retirement, using your estimated retirement tax rate for withdrawals.

2) Why do expense ratios change the result so much?

Fees reduce the balance that compounds. A small annual difference, like 0.50%, compounds for decades, lowering both the final balance and the after-tax value shown in the projection table and chart.

3) How is a Roth conversion treated here?

The model assumes you pay current-year taxes on the converted amount at your current marginal rate. The remaining balance compounds in a Roth-style account and is treated as tax-free at retirement.

4) Does this include required minimum distributions or contribution limits?

No. It is a projection tool for a single existing balance. It does not model future contributions, RMD timing, changing tax brackets, or plan-specific rollover restrictions.

5) What is "tax drag" in the cash-out scenario?

Tax drag approximates the annual return reduction from taxable dividends and realized gains. If your investments are tax-efficient, use a lower drag; if turnover and distributions are higher, use a higher drag.

6) How should I interpret the break-even year?

Break-even is the first year the rollover after-tax value meets or exceeds the baseline under the same retirement tax rate assumption. It is not a guarantee; it is a sensitivity indicator based on your inputs.

Meta Description

Compare rollover choices with fees and taxes. Project future value for two retirement accounts. See after-tax outcomes before making confident benefit decisions today.

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Important Note: All the Calculators listed in this site are for educational purpose only and we do not guarentee the accuracy of results. Please do consult with other sources as well.