Financial
Savings Goal Calculator
Enter your goal, starting balance, monthly contribution, and expected return — see a month-by-month growth chart and exactly when you'll hit your target.
How it works
Each month, your balance earns r/12 in compound interest (where r is your annual return rate), then your monthly contribution is added. The formula: B(t) = P·(1+r/12)^t + C·[((1+r/12)^t − 1)/(r/12)] — where P is starting balance, C is monthly contribution, and t is months. The chart splits total balance into contributions vs compound growth so you can see how much the market is doing for you over time.
Savings Calculator FAQ
A savings goal calculator uses compound interest math to project how your balance grows over time. It combines your starting balance, monthly contributions, and an expected annual return rate to show month-by-month growth. It also tells you exactly when your balance crosses your goal amount.
For a high-yield savings account or CD, 4–5% is realistic today. For a diversified stock index fund over the long run, 7–10% is a commonly cited historical average (the S&P 500 has averaged about 10% annually before inflation). For a conservative mixed portfolio, 5–6% is a reasonable estimate. The default 7% in this calculator reflects a balanced long-term stock portfolio.
Contributions are the dollars you put in each month — money you actually earned and deposited. Interest (or investment returns) is money the account generates on its own through compounding. Early on, contributions dominate. Over time, compound growth takes over — by year 20+, interest can exceed total contributions by a wide margin.
If the calculator shows your goal is not reached within your time horizon, you have three levers: increase your monthly contribution, increase your expected return (by investing more aggressively), or extend the time horizon. The calculator shows your projected final balance so you can see exactly how far short you'd fall.
This calculator compounds monthly, meaning each month your interest is added to the balance before the next month's interest is calculated. Monthly compounding grows slightly faster than annual compounding — at 7%, monthly compounding gives an effective annual rate of 7.229% vs. exactly 7% with annual compounding.
This calculator is a quick directional tool, not a retirement plan. For retirement, you'd also want to account for inflation (which erodes purchasing power), tax treatment (401k, IRA, Roth), Social Security, and sequence-of-returns risk. Use this to get a rough sense of timelines, then work with a financial advisor or dedicated retirement planner for serious planning.
Current savings is your starting balance — the amount you already have saved toward this goal today. It earns compound returns from day one. If you're starting from zero, enter 0. Every dollar you have saved today is worth more than a future contribution because it has more time to compound.
It depends on your goal amount, current savings, return rate, and timeline. A general rule: saving 20% of take-home pay is a strong starting point. For specific goals — down payment, emergency fund, vacation — work backwards from your target. Enter the goal, your starting balance, your return rate, and your time horizon. The chart shows whether your current contribution is on track.