Savings Goal Calculator: Monthly Amount to Reach a Target
Enter your target, what you have saved so far, the yearly interest rate and the number of years to see the monthly deposit you need.
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Formula
shortfall = goal − savings × (1 + r)^n
deposit = shortfall × r ÷ ((1 + r)^n − 1)
ris the yearly rate ÷ 12 ÷ 100 andnis the years × 12- Deposits are made at the end of each month. At 0% interest the deposit is
shortfall ÷ n. - If your savings alone grow past the goal, the deposit is 0.
Worked example
Goal 50,000, already saved 5,000, 5% a year, 10 years:
r = 0.05 ÷ 12,n = 120,(1 + r)^n = 1.6470- Savings grow to 5,000 × 1.6470 = 8,235.05, so the shortfall is 41,764.95
deposit = 41,764.95 × r ÷ 0.6470 =268.96 a month- Total deposited 268.96 × 120 = 32,275.20, so interest earned is 12,724.80
Frequently asked questions
How is the monthly savings amount calculated?
Your current savings grow by (1 + r)^n, where r is the monthly rate and n the number of months. The rest of the goal is covered by equal month-end deposits: PMT = shortfall × r ÷ ((1 + r)^n − 1). For a 50,000 goal with 5,000 saved at 5% over 10 years, that is 268.96 a month.
What if my interest rate is 0%?
Then there is no growth and the shortfall is split evenly. Saving 12,000 in one year at 0% means 1,000 a month.
What if my savings already reach the goal?
If your current savings grow past the goal on their own, the monthly deposit is 0. For example, 10,000 at 5% for 10 years grows to 16,470.09.
When are the deposits made?
The calculator assumes one deposit at the end of each month and monthly compounding. Real accounts may pay interest differently, and rates change, so treat the result as an estimate.