Roth 403(b) vs Traditional 403(b)

Compare a Roth 403(b) (after-tax contributions, tax-free withdrawals) with a Traditional 403(b) (pre-tax, taxed at withdrawal).

Current balance ($)

Annual salary ($)

Contribution (% of salary)

Expected annual return (%)

Annual raise (%)

Years until retirement

Current marginal tax rate (%)

Retirement marginal tax rate (%)

Roth 403(b) — net after-tax

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Traditional 403(b) — net after-tax

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Advantage

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Pre-tax FV (same for both)

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Roth 403(b) withdrawals are tax-free if qualified. Traditional 403(b) withdrawals are fully taxable as ordinary income. 2025 deferral limit: $23,500.