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Savings Goal Calculator

Work out how much to save each month to reach a goal by a date, or how long it will take at the amount you can afford, with interest from a high-yield savings account.

$
$
years
months
More options· Interest at 4% APY
%

Your savings account’s rate, before tax

Save each month

$466

To reach $20,000 in 3 years, with interest at 4% APY

A week
$108
You pay in
$16,754
Interest
$1,246

What this means

Set up an automatic transfer to a separate savings account on payday, so the money is put aside before you can spend it. A higher rate helps, but the amount you save each month matters most.

Money you’ll need within about five years is safest in savings, where its value can’t fall. For goals further away, investing may grow faster, but it can drop just when you need it.

Next step

Your plan

AfterPaid inInterestSaved
Year 1$5,585$182$7,766
Year 2$11,169$594$13,763
Year 3$16,754$1,246$20,000

Towards your goal

Your savings over time
$25,000$12,500$0
123
Saved so farYou pay inInterestGoal
Assumptions in this estimate
  • Savings are added at the end of each month, and interest at 4% APY is added monthly and stays the same throughout. Savings rates change, so check your plan now and then.
  • Interest is shown before tax. Our savings interest calculator works out the tax on it.
  • The goal is in today’s money. If it’s something whose price rises, like a home deposit, aim a little higher.
Spotted a mistake? Tell us

How the calculator works

  1. Your goal and what you’ve saved so far.
  2. How much each month: for a deadline, it works out the monthly amount that reaches your goal, with interest added each month.
  3. How long: for the amount you can save, it works out how many months it will take.
  4. Interest: at the APY you enter, before tax. It starts at a typical high-yield savings rate: use your own bank’s.

Example

To reach $20,000 in 3 years with $2,000 saved and a 4% APY, save about $466 a month, or $108 a week. You’d pay in $16,754 and earn $1,246 of interest. If you can only save $350 a month, you’d get there in 3 years and 11 months.

Monthly saving for common goals

Starting from nothing, at 4% APY, a month:

Goal 1 year 2 years 3 years 5 years
$5,000 $409$201$131$76
$10,000 $818$401$262$151
$20,000 $1,637$802$524$302
$50,000 $4,092$2,006$1,311$756

How long it takes

$20,000 with $2,000 saved already, at 4% APY:

Saving a month Time to reach it Interest earned
$200 6 years, 5 months $2,655
$300 4 years, 6 months $1,875
$500 2 years, 10 months $1,186
$750 1 year, 11 months $792
$1,000 1 year, 6 months $631

For goals a few years away, how much you save each month matters far more than the rate: interest adds only a little over a short time. A good rate still helps, so don’t leave the money in an account paying almost nothing.

Common savings goals

  • An emergency fund: three to six months of essential costs. See our emergency fund guide.
  • A down payment: plus closing costs. The home affordability calculator shows what it could buy.
  • A car: a bigger down payment means borrowing less and paying less interest. See the car affordability calculator.
  • Holidays and big yearly bills: divide the cost by the months until it’s due and save that each month, so it never lands on a credit card.

Tips for reaching a savings goal

  • Automate it: a transfer on payday means the money is saved before you can spend it.
  • Give each goal its own account, so you can see your progress and aren’t tempted to dip in.
  • Start with an emergency fund of three to six months of essential costs, so a surprise bill doesn’t end up on a credit card.
  • Check your rate: many big banks still pay well under 1%. Compare with our savings interest calculator.

Learn more

See the budget calculator to find money to save, and the compound interest calculator for longer-term goals.

Last updated

Frequently asked questions

How much should I save each month to reach my goal?

Take what you still need, spread it over the months until you need it, and let interest cover a little of it. To reach $20,000 in 3 years with $2,000 saved and 4% APY, you need to save about $466 a month.

How long will it take to save $10,000?

At 4% APY, starting from nothing, saving about $818 a month gets you there in a year, $401 a month in two years, and $262 a month in three.

Where should I keep money for a savings goal?

For goals within about five years, a high-yield savings account, money market account or CD, where the value can’t fall. Deposits at FDIC-insured banks are protected up to $250,000 per depositor, per bank, for each ownership category.

Is interest on savings taxed?

Yes. Interest counts as ordinary income on your federal return and in most states, at your own tax rate. Your bank sends a 1099-INT when you earn $10 or more in a year.

Should I save or invest for a goal?

Save for goals you’ll need within about five years, like an emergency fund, a car or a down payment. For goals 10 or more years away, investing usually grows faster, though it can fall in the short term.

How do I save for a down payment?

Set a goal that covers the down payment and closing costs, keep it in high-yield savings, and save automatically each payday. Our affordability calculator shows how much home your savings could buy.