About this calculator
Setting a savings target without a number attached rarely works. Converting a goal into a specific monthly amount makes it actionable, and including expected interest shows how much the market contributes to the effort.
How it works
The calculator works out the level monthly payment that grows your starting balance to the target over the given months, accounting for compound return. Enter your own monthly amount to compare your current pace against the required one.
Frequently asked questions
How much should I save each month?
Set the target, the deadline, and what you have already saved, then calculate the required monthly amount. A common guideline is saving 10 to 20% of take-home income, but the right number depends on your goal timeline.
What is the 50/30/20 budget rule?
Allocate 50% of take-home income to needs, 30% to wants, and 20% to savings and debt payments. It is a simple starting point rather than a law, and it works best as a baseline you adjust to your circumstances.
Should I save for retirement or pay off debt first?
If you carry debt above about 7% interest, paying it down is effectively a guaranteed return of that rate. Once debt is gone, direct the same payment amount toward retirement.
How does compound interest help savings goals?
Interest earned begins earning its own interest. Over a long horizon this means the final balance is meaningfully larger than simply adding your contributions, with the largest contributions arriving in the final years.
What is an emergency fund and how much should I have?
Three to six months of essential expenses is the usual target. Three months suits a stable dual-income household, while six or more is safer for single income or variable earnings.
Is a high-yield savings account worth it?
Usually yes for emergency funds and short-term goals, since rates at these accounts are often far above the big bank baseline and FDIC insured. For long horizons, diversified investments typically outgrow the rate.