Savings Goal Calculator
Find how much to save each month to reach a savings goal by a deadline, or how long it takes with a fixed monthly deposit, including interest earned.
Results
- Deposits at the end of each month; interest compounds monthly at the annual rate ÷ 12.
What is Savings Goal Calculator?
Solves a savings goal two ways: the monthly deposit needed to reach a target in a given time, or the time needed to reach it with a monthly deposit you choose. Interest on the balance is included.
How to use Savings Goal Calculator
- Choose what to Calculate: the monthly saving needed or the time to reach the goal.
- Enter the Savings goal, Current savings and the Annual interest rate (0 is fine).
- Enter the time in years, or the monthly deposit, depending on the mode.
Example
Goal 10,000, current 0, 0%, 2 years
Required monthly saving 416.67
When to use Savings Goal Calculator
Use it for emergency funds, holidays, a car or a down payment. If your savings are invested with variable returns, use a conservative rate.
How Savings Goal Calculator works
Deposits are made at the end of each month and interest compounds monthly at the annual rate ÷ 12. The required deposit is (goal − current × (1 + r)^n) × r ÷ ((1 + r)^n − 1), or (goal − current) ÷ n at 0%. The time is n = ln((goal·r + deposit) ÷ (current·r + deposit)) ÷ ln(1 + r), rounded up to whole months. If the current savings already grow to the goal, the deposit needed is zero.
Common Use Cases
- Saving 10,000 in two years
- Checking when an emergency fund will be complete
- Planning a down payment deadline
- Comparing saving with and without interest
FAQs
Why is the time rounded up?
Savings are deposited monthly, so a goal reached part-way through month 20 is counted as 20 months.
What if the goal can never be reached?
With a deposit of 0 and no interest, or similar cases, the tool shows a message instead of a result.
Does it include taxes on interest?
No. If interest is taxed, enter the after-tax rate.