How does this calculate savings needed to reach a goal?

Given target amount, timeframe, and interest rate, it calculates the needed regular contribution.

Does interest rate significantly affect required contributions?

Yes, especially over longer timeframes, reducing how much you need to contribute directly.

Should I include existing savings?

Yes, entering your current balance gives a more accurate picture of additional contributions needed.

Savings Goal Calculator - Monthly Savings Needed

Savings Goal Calculator

Find out how much you need to save each month to hit your savings target on time.

Savings Goal Amount

Amount Already Saved

Months to Reach Goal

Annual Interest Rate (%, optional)

Amount Still Needed-

Required Monthly Saving-

What Is a Savings Goal Calculator?

This calculator works out how much you need to save each month to reach a target amount by a certain date, optionally accounting for interest earned along the way.

Formula

Without interest: Monthly Saving = (Goal − Current Savings) ÷ Months. With an annual interest rate r compounded monthly, the calculator solves for the monthly contribution PMT needed so that your current balance plus contributions grow to the goal amount, using the future value of a series formula.

How to Use This Calculator

Enter your total savings goal.
Enter how much you've already saved (0 if starting fresh).
Enter how many months you have to reach the goal.
Optionally enter an expected annual interest rate for your savings account.
Click Calculate to see how much to save each month.

Worked Example

You want to save $10,000 in 24 months, starting with $1,000 already saved and no interest. You still need $9,000, so you must save 9000 ÷ 24 = $375 per month. Enter these numbers above (leave the interest rate blank or 0) to confirm.

Common Uses

Useful for planning an emergency fund, a vacation, a down payment, a wedding, or any target savings amount with a deadline.