Savings Goal Calculator
Find out how much to put aside each month to hit a target, or how long your current saving will take.
- Calculated in your browser
- Formula and rounding
- Reviewed
You need to saveExample
$301.67 a month
for 5 years to reach $20,000.00
- Target
- $20,000.00
- You pay in
- $18,100.20
- Interest earned
- $1,900.21
- Final balance
- $20,000.41
- Exact amount
- 301.6637rounded up so the goal is met
Convert the annual rate to a rate per month
i = r / pr = 0.04p = 12rateType = nominalm = 12
= 0.00333333…
Contribution needed per period (rounded up so the goal is met)
PMT = (T − S(1+i)^n) / ( ((1+i)^n − 1)/i )T = 20000S = 0i = 0.00333333…n = 60
= 301.66377443…
- Balance
- Target
Saving $301.67 a month for 5 years reaches $20,000.00, with $1,900.21 of interest.
Assumptions
- Rate is a nominal annual rate of 4% compounded monthly.
- Contributions are made at the end of each monthly period; interest is credited each period at the equivalent rate.
- The target is a fixed amount (not adjusted for inflation).
- Tax and fees are not modelled.
Rate 4.00% nominal, compounded monthly.
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Estimates for general information only — not financial, tax or legal advice. Your actual figures depend on your employer’s payroll, your full tax situation, your lender’s or bank’s terms and rules we may not model. Check official sources and speak to a qualified adviser before making decisions. Disclaimer · Report an error
How to work out how much to save per month to reach a goal
A goal is easier to reach when it has a number and a date. Maybe it is a house deposit, an emergency fund, a car or a trip. This calculator turns that goal into a plan you can see.
It answers three questions. How much do I need to save each period to reach my target by a date? How long will it take if I save a set amount? And can I reach the target by a date with what I can put aside? It counts what you have already saved and the interest your savings earn, and it works in any currency.
- 1
Pick the question you want answered
Choose “how much per period”, “how long” or “can I reach it”. Then enter your target and anything you have already saved towards it.
- 2
Add the rate and how often you save
Enter the interest rate as your bank quotes it, AER/APY or nominal, and pick weekly, monthly, quarterly or yearly deposits at the start or end of each period. Tick “target in today’s money” to grow the target with inflation.
- 3
Read your plan
You see the deposit needed or the date you reach the goal, how much comes from you and how much from interest, a progress chart and a schedule of every deposit.
What this calculator does
- Deposit needed to reach a target by a chosen date
- Time needed to reach a target with a set deposit
- Check whether a target is reachable by a date
- Counts current savings and interest at any rate
- Weekly, monthly, quarterly or yearly deposits, at the start or end of each period
- Optional target in today’s money, adjusted for inflation
- Required deposit rounded up so the goal is met
- Goal date, progress chart and full schedule
Worked example: 20,000 in five years
Saving 20,000 over 60 months at 4%
You want 20,000 (any currency) in five years. You start from nothing, and your account pays a nominal 4% a year compounded monthly. You save at the end of each month, so there are 60 deposits.
- Exact deposit needed: 301.6638 per month
- Deposit shown: 301.67 per month (rounded up)
- Total you pay in: 18,100.20
- Interest earned: about 1,900
Interest covers close to a tenth of the goal in this scenario. With a 0% rate you would need 20,000 ÷ 60 = 333.33…, which rounds up to 333.34 a month.
How it’s calculated
The calculator starts from the future value of regular deposits. With a rate per period i and n deposits at the end of each period, deposits of D grow to D × ((1 + i)^n − 1) ÷ i. Your current savings grow to S × (1 + i)^n.
To find the deposit, it subtracts the future value of your current savings from the target and solves for D: D = (Target − S × (1 + i)^n) × i ÷ ((1 + i)^n − 1). Start-of-period deposits divide that result by (1 + i). To find the time, it steps forward period by period until the balance reaches the target.
The rate is entered the same way as in the compound interest calculator, so an AER or APY is converted to a per-period rate before any of this runs. Full details are on our methodology page.
Why the deposit is rounded up
The exact answer is rarely a round amount. If the calculator rounded 301.6638 down to 301.66, you would finish a little short. So the required deposit is always rounded up to the smallest unit of your currency. That way the plan meets the goal, sometimes with a few cents or pence to spare.
Targets in today’s money
Prices tend to rise, so 20,000 in five years may buy less than 20,000 does now. When you tick “target in today’s money”, the calculator grows your target by the inflation rate you enter before working out the plan. To see how prices have moved in the past, try the inflation calculator. If you set your saving from your pay, the salary to hourly calculator shows your income per month or per week. Our guide to AER, APY and nominal rates explains which rate to enter.
Good to know
- Results assume the rate stays the same until you reach the goal. Variable savings rates can change at any time.
- Tax on interest is not deducted. Depending on where you live and the account you use, some interest may be taxable.
- If you save nothing and the rate is 0%, a target above your current savings is never reached. The calculator tells you so instead of guessing a date.
- Inflation is a single assumed rate. Real price changes vary from year to year.
What happens to the numbers you type
Your numbers stay in your browser. MoneyOtter works out your results on your device. We don’t send the amounts you type to our servers or store them. If you allow analytics, we record only broad ranges (for example “middle tax band”) to understand how the calculators are used. Like any website with ads, this page also loads advertising scripts; see our Privacy Policy.
The calculator is plain code running in this tab. It makes no network requests with your figures, and nothing is saved when you leave unless you choose to keep it. Read the privacy policy for how ads and analytics work on this site.
Related calculators and guides
Questions people ask
How much do I need to save each month to reach my goal?
Enter your target, your current savings, your rate and the number of months in “how much per period” mode. For example, 20,000 in 60 months at a nominal 4% compounded monthly needs 301.67 a month.
How long will it take to reach my savings goal?
Switch to “how long” mode and enter the amount you can save. The calculator steps forward one period at a time and shows the date your balance first reaches the target.
Does interest really make a difference to a savings goal?
Over short periods it is small. Over several years it adds up. In the five-year example, interest supplies about 1,900 of the 20,000, so the monthly deposit drops from 333.34 to 301.67.
Does money I have already saved count towards the goal?
Yes, if you enter it as current savings. Your current savings earn interest too, which lowers the deposit needed each month.
Why is the required amount slightly higher than my own calculation?
The calculator rounds the deposit up to the smallest currency unit so that the plan meets the goal. A spreadsheet that rounds to the nearest cent can come out one cent lower and finish just short.
Can I use this as a house deposit savings calculator?
Yes. Enter the deposit you are aiming for as the target and the date you hope to buy. Tick “target in today’s money” if you expect prices to rise before then.
Sources and review
- Investor.gov (US SEC) — Savings goal calculator
- Investor.gov (US SEC) — What is compound interest?
- European Central Bank — What is inflation?
Estimates for general information only — not financial, tax or legal advice. Your actual figures depend on your employer’s payroll, your full tax situation, your lender’s or bank’s terms and rules we may not model. Check official sources and speak to a qualified adviser before making decisions.
Page reviewed by the MoneyOtter team · Methodology · Changelog · Report an error