Savings Goal Calculator
Determine how much you need to save each month to reach a specific financial goal by a target date.
Results
What is it?
The Savings Goal Calculator works backward from a target amount to tell you how much to save each month. It factors in your current savings, expected investment returns, and time horizon to compute the required monthly contribution.
How to use
Enter your target savings goal, what you have saved so far, the expected annual return on your savings or investments, and how many years you have. The calculator uses the PMT function to determine the monthly amount needed.
Example scenario
To reach $50,000 in 5 years with $5,000 already saved at 5% annual return, you need to save about $695/month. Of the $50,000 goal, you contribute about $46,700 total and earn roughly $3,300 in interest.
Pro tip
Automate your savings transfers on payday — you can't spend what you never see. Even small increases in monthly savings have a big impact over time. If the required amount seems too high, extend the timeframe or boost your return with index investing.