How much to save each month
Most savings tools ask what you will end up with. This one works the other way round. You name the target, the time frame and an expected return, and it tells you the fixed monthly deposit that gets you there, assuming the balance compounds along the way. Because interest does part of the lifting, the total you actually deposit is less than the goal itself.
That gap between what you put in and what you end up with is the whole point of starting early. Give the money more time and a larger share of the goal is covered by growth rather than your own contributions, so the monthly amount you need falls.
Two examples
To reach 100,000 in 10 years at a 6% return, you would save about 610 a month. Over the decade you deposit roughly 73,000 of your own money, and compounding supplies the other 27,000.
Give yourself 20 years for the same 100,000 and the monthly amount drops to around 216. You deposit only about 52,000 in total, because twice the time lets growth do far more of the work. The lesson repeats: time is cheaper than money.
Reaching the goal sooner
- Start now. A longer runway is the single biggest way to lower the monthly amount.
- Automate the deposit so it happens before you can spend it.
- Revisit the return you assume. A realistic rate keeps the plan honest; an optimistic one just sets you short.
A note on the return
Be realistic about the rate you enter. Cash savings return very little, while diversified investments have historically returned more but carry real risk and bad years. This calculator only does the maths on the number you give it, so a sensible assumption matters. If you already have savings, subtract their future value from your goal for a rough adjustment.
Frequently asked questions
What if I already have some savings?
This version starts from zero. Subtract the future value of your current savings from the goal for a rough adjustment.
Does it assume monthly deposits?
Yes, a fixed amount at the end of each month, with the balance compounding monthly.
What return should I assume?
Be realistic. Cash savings return little; diversified investments have historically averaged more but carry risk. This tool only does the maths, not advice.
Does it assume monthly compounding?
Yes, it compounds monthly and assumes deposits at the end of each month.
What if I already have savings?
This version starts from zero. Subtract the future value of current savings from your goal for a rough adjustment.