myRA Calculator

A myRA is a new retirement account, introduced by President Obama in his 2014 State of the Union Address and formalized in a memorandum the next day. myRAs are expected to be available in late 2014. (Note the mix of tenses: myRAs will be available in the near future, but most of the details about them are available now.)

A myRA is structured like a Roth IRA:

  • Contributions are post-tax, and growth is tax-free

  • Participants will (presumably) be subject to the same income and contribution limits as with a normal Roth IRA.
myRAs also have specific features to make them attractive for new savers:
  • They are administered by the Treasury Department at no cost

  • They are guaranteed to be risk-free

  • Opening balance and contributions are allowed to be extremely low ($25 and $5, respectively)

  • After your account balance reaches $15,000 (or after 30 years, whichever comes first), you are required to convert your myRA to a privately managed Roth IRA.

In other words, a myRA is a way to ease more people into the stock market, through the comfortable intermediate step of a free and riskless government savings account.


This calculator lets you see how a myRA will work:


Opening myRA Balance:  $ 
Contributions:  $ 
Expected Return Rate: %


Note: for simplicity, the calculator allows a maximum contribution of $5500 annually. The actual Roth IRA contribution limit varies with your age and income: see the Roth IRA Rules page for details.




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