Savings Goal Calculator
Enter your savings goal, what you've already set aside, the annual interest rate you expect to earn, and how many years you have. The calculator solves for the exact monthly contribution needed, compounds interest monthly with end-of-month deposits, and shows you a year-by-year balance trajectory so you can see your progress build toward the target.
Required monthly saving
$268.96
for 120 months to reach $50,000.00
Total contributions
$32,275.38
Interest earned
$12,724.62
Balance trajectory
Year-by-year breakdown
| Year | Balance | Contributed |
|---|---|---|
| 1 | $8,558.35 | $8,227.54 |
| 2 | $12,298.75 | $11,455.08 |
| 3 | $16,230.52 | $14,682.61 |
| 4 | $20,363.44 | $17,910.15 |
| 5 | $24,707.81 | $21,137.69 |
| 6 | $29,274.45 | $24,365.23 |
| 7 | $34,074.72 | $27,592.76 |
| 8 | $39,120.59 | $30,820.30 |
| 9 | $44,424.61 | $34,047.84 |
| 10 | $50,000.00 | $37,275.38 |
How it works
The calculator first projects how much your current savings will grow on their own using the future-value formula: current savings × (1 + monthly rate)^months. If that figure already meets or exceeds your goal, no further contributions are needed. Otherwise, the shortfall between that projected amount and your goal is divided by the future-value annuity factor — ((1 + monthly rate)^months − 1) ÷ monthly rate — which gives the precise monthly deposit required for end-of-month contributions to bridge the gap.
Contributions are assumed to be deposited at the end of each month, which is the standard actuarial convention for savings plans. This means your first deposit earns interest for one fewer month than if you contributed on the first day, so the required amount is very slightly higher than with start-of-month timing. The conservative end-of-month assumption is used throughout to avoid overstating how little you need to save.
The required monthly amount drops steeply as the time horizon grows because each extra year multiplies every existing dollar by another year of compounding. Doubling your timeline rarely doubles the required contribution — it often cuts it by more than half. The year-by-year table makes this visible: early balances grow slowly in dollar terms, but those compounded dollars generate larger absolute gains in later years, doing progressively more of the work for you.
Frequently asked questions
What if I can't afford the required monthly amount?+
There are a few honest levers to pull: extending the timeline reduces the required monthly contribution, sometimes dramatically; lowering the goal amount to a still-meaningful target shrinks the shortfall; or combining both adjustments can make the plan immediately achievable. If the shortfall is large, a financial planner can help you prioritise goals and identify realistic rates of return for your situation — this calculator is an educational tool and does not constitute financial advice.
Does this calculator account for inflation?+
No — all figures are nominal. The goal amount and balances shown are in today's currency units without adjusting for purchasing-power erosion. To estimate the real value of your goal in future money, you can either inflate the goal amount before entering it, or reduce the annual rate by your expected inflation rate (e.g. enter 4% instead of 7% if you expect 3% inflation). For accurate inflation-adjusted projections, consult a qualified financial adviser.
Where should I keep money earmarked for a savings goal?+
That depends on the timeline and how accessible you need the funds to be. For short-term goals (under two years), high-yield savings accounts or certificates of deposit often make sense because they are low-risk and liquid. For longer horizons, diversified investments may offer higher expected returns, though they carry more volatility. Tax-advantaged accounts (such as ISAs, 401(k)s, or TFSAs depending on your country) can also reduce the drag of taxes on growth. Always seek qualified financial advice before choosing where to invest.