How to use this calculator
- Enter your goal and anything you've already saved towards it.
- Choose how many months you want to reach it in.
- Enter the yearly interest rate your savings earn, or 0 if you're keeping the money in cash.
- Set up a monthly transfer for the amount shown, ideally on the day you're paid.
How it's calculated
Interest is added monthly at one twelfth of the yearly rate, and you save at the end of each month.
Worked example
Sara wants $20,000 for a house deposit in 3 years (36 months). She has $2,000 saved, in an account paying 4% a year.
Sara needs to save $464.77 a month. She pays in about $16,732 in total and interest adds about $1,268. Without interest she'd need $500 a month.
Frequently asked questions
Does this include tax on interest?
No. Interest is shown before any tax. In some countries savings interest is taxed above an allowance, and some accounts are tax-free, so the real growth can be a little lower or the same.
What if my savings rate changes?
Run the calculator again with the new rate and the amount you've saved so far. Rates on savings accounts often change, so checking every few months keeps you on track.
Should I save or invest for my goal?
That depends on your situation and how soon you need the money. Investments can fall as well as rise. A qualified financial adviser can help you decide.