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Savings Goal Calculator

Find out exactly how much to save each month to reach your goal — and how saving a bit more gets you there faster.

$
$
%
yr

Required Monthly Savings

$662.08/mo

Total you'll contribute

$44,725

Interest earned

$5,275

Goal value

$50,000

Year-by-year progress

YearContributedInterestBalance
1$12,945$351$13,296
2$20,890$689$21,930
3$28,835$1,041$30,915
4$36,780$1,407$40,267
5$44,725$1,788$50,000
What if I save more each month?
$

Save $762/mo instead

Reach goal in

4.4 yr

Time saved

0 yr 7 mo sooner

Researched by CentCalc Financial Editorial TeamData: Standard savings-goal amortization formula

How Your Monthly Savings Are Calculated

This calculator solves for the monthly contribution needed to grow your starting amount to a target value, assuming a fixed interest rate that compounds monthly:

PMT = [FV − P(1+r/n)(nt)] × (r/n) / [(1+r/n)(nt) − 1]

Where FV is your savings goal, P is your starting principal,r is the annual interest rate, n is 12 (monthly compounding), andt is the number of years.

The "interest earned" portion is the difference between your goal and everything you contributed — that is the compounding working in your favor. The longer your timeframe, the more interest does the heavy lifting.

Example: To reach $50,000 in 5 years starting from $5,000 at 4% APY, you need to save about $676/month. Of the $50,000 goal, roughly $45,600 comes from your contributions and $4,400 from interest.

Assumes level monthly contributions and a fixed rate. Real savings rates fluctuate.

See our full methodology for every formula, data source, and assumption.

Frequently Asked Questions

How much should I save each month?
A common guideline is 20% of take-home pay (the 50/30/20 rule). This calculator gives the exact amount for a specific dollar goal and deadline.
What interest rate should I use?
Use your high-yield savings account's APY (often 4–5%) for cash savings. For invested funds, a long-term average like 6–7% is common — but investments can lose value unlike insured savings.
How is the monthly amount calculated?
It solves the annuity formula for the payment (PMT) that grows your starting principal to the target, accounting for monthly compounding over the timeframe.
Does saving a little more really make a difference?
Yes. Compounding means extra contributions both shorten your timeline and reduce the total you must contribute, since interest covers more of the goal. Check the "What if I save more" panel.

Related Calculators

Compound

See how compound interest grows your savings over time.

APY

Calculate Annual Percentage Yield from APR and compounding frequency.

Investment

Project the future value of an investment portfolio.

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Estimates assume a fixed interest rate and steady contributions. Actual returns vary.