Savings Goal Calculator

Enter your savings target, how long you have, any starting balance and an interest rate to find the monthly deposit needed to reach your goal on time.

$
$
%
Enter your goal and press Calculate monthly saving.

The savings-goal formula

The starting balance grows on its own; the rest must come from monthly deposits. Solving the future-value-of-an-annuity equation for the payment gives:

PMT = ( Goal − Start·(1+i)n ) × i ÷ ( (1+i)n − 1 )

Where i is the monthly rate (annual ÷ 12), n is the number of months, Start is today's balance and Goal is the target. If the rate is zero it simplifies to (Goal − Start) ÷ n.

Worked example

Goal $20,000 in 36 months, starting at $2,000, earning 4%:

Starting balance grows to: 2,000 × (1.003333)36 ≈ $2,254.
Gap to fill with deposits: ≈ $17,746 of future value.
Monthly deposit: ≈ $466.
Interest earned: reduces total out of pocket vs saving with no interest.

Saving smarter

Two levers change the monthly figure most: time and rate. Doubling the months roughly halves the required deposit, and a higher yield (a high-yield savings account or money-market fund) lets your interest do more of the work. Automating the transfer the day you're paid is the single most reliable way to actually hit the goal.

Tip: for an emergency fund, a common target is three to six months of essential expenses. Keep goal money somewhere safe and liquid rather than in volatile investments.

Frequently asked questions

How much should I save each month to reach my goal?

Subtract the future value of your current balance from the target, then divide that gap by the annuity factor for your rate and time. For $20,000 in 3 years from $2,000 at 4%, it's about $466/month.

Does interest reduce how much I need to save?

Yes. A higher interest rate means your balance and each deposit earn more, so you reach the goal with smaller contributions. At 0% you simply divide the remaining amount by the number of months.

What if I can't afford the monthly amount?

Give yourself more time (a longer deadline lowers the monthly figure), lower the goal, or find a higher-yield account. Even saving something automatically each month builds the habit.

Where should I keep goal savings?

For goals within a few years, a high-yield savings account or money-market fund keeps the money safe and liquid. Avoid volatile investments for money you'll need on a fixed date.

MB
Mustafa Bilgic · Editor, Calcool
This solves the standard future-value-of-an-annuity equation for the required payment. For saving and budgeting guidance see the Consumer Financial Protection Bureau (CFPB). Returns are not guaranteed; figures are estimates.

Related calculators

📈 Compound Interest Calculator📈 Investment Calculator🌴 Retirement Calculator🏡 Home Affordability Calculator