Savings Goal Calculator

Find the monthly deposit that reaches your savings goal on time, and see how much of the goal interest will cover.

Estimate how much you should save per month to hit a target balance.

Savings goal

Annual interest rate

Years to goal

years

Monthly savings needed

$745

Total contributed

$44,679

Estimated interest earned

$5,321

Results are estimates for informational purposes only.

How to use this calculator

How much to save each month

Enter a savings target, the number of years until you need the money, and the interest rate your savings will earn. The calculator finds the fixed monthly deposit that reaches the goal, assuming monthly compounding and a deposit at the end of each month.

Interest does part of the work, so you deposit less than the full goal. To reach $50,000 in 5 years at 4.5%, you need to save $744.65 a month. Your deposits total $44,679, and interest covers the remaining $5,321. With no interest at all, you would need $833.33 a month.

Time is the biggest lever

More time lowers the monthly amount in two ways: the goal is spread over more deposits, and interest has longer to build. Saving $25,000 takes $649.92 a month over 3 years but $372.33 over 5 years. For long-term goals the effect is dramatic: at a 7% average investment return, $819.69 a month grows to $1,000,000 in 30 years.

If the required amount does not fit your budget, you have three options: push the deadline back, lower the goal, or earn a higher rate that still suits the goal. The budget calculator can help you find where the monthly amount could come from.

Matching the account to the goal

For goals within about five years, such as an emergency fund, a car, or a down payment, keep the money in savings accounts, CDs, or Treasury bills, where the balance cannot fall. Use the rate those accounts pay today, and remember it can change.

For goals 10 or more years away, such as retirement or a child’s education, investing can earn more over time but can also lose value in any given year. Using a conservative return for long goals, and saving a bit more than the result, gives you a buffer.

You can also review Compound Interest Calculator and Investment Growth Calculator to compare scenarios.

Formula

Monthly rate r = annual rate ÷ 12; number of deposits n = years × 12
Monthly deposit = goal × r ÷ ((1 + r)^n − 1)
Total contributed = monthly deposit × n
Interest earned = goal − total contributed

Example: $50,000 in 5 years

Goal: $50,000 in 5 years (60 monthly deposits) at 4.5% a year.
Monthly rate: 4.5% ÷ 12 = 0.375%.
Required deposit: $744.65 a month.
You contribute $44,679 in total, and interest supplies the other $5,321.

Monthly savings needed for common goals

At a 4.5% annual rate, compounded monthly, starting from $0.

Savings goal	Years to goal	Monthly savings needed	Estimated interest earned
$10,000	1 years	$816	$205
$10,000	3 years	$260	$641
$25,000	3 years	$650	$1,603
$25,000	5 years	$372	$2,660
$50,000	5 years	$745	$5,321
$100,000	10 years	$661	$20,634

Frequently asked questions

How much do I need to save each month to reach $10,000 in a year?

About $833 a month with no interest. At 4.5%, it is $816.29, because interest adds roughly $205 over the year. Over 3 years, the monthly amount drops to about $260.

What if I already have some money saved?

Subtract what your current savings will grow to from the goal. For example, $5,000 earning 4.5% grows to about $6,259 in 5 years, so a $50,000 goal becomes about $43,741 of new savings. Enter that as the goal.

Should I save weekly or monthly?

Whichever matches your paycheck. An automatic transfer on payday makes saving far more likely to happen. Weekly deposits earn slightly more interest than one monthly deposit of the same total, but the difference is small.

What rate should I use?

For short goals, use the rate your savings account or CD pays now. For investment accounts aimed at goals many years away, a conservative long-term return such as 5% to 6% is safer than assuming the best years will repeat.