Find out how long it will take to reach a savings goal, or how much to put aside each month to reach it by a set date, with interest included.
Results are estimates for planning. Check the figures before you make a financial or health decision.
How the Savings goal and interest works
There are two modes. In how long to reach my goal, you enter the goal, what you have already saved, a monthly amount and an interest rate (AER). The tool adds interest each month at the equivalent monthly rate, then adds your payment, and repeats until the balance reaches the goal. It reports the time in years and months, total paid in, interest earned and final balance.
In how much to save each month, you enter the time in years. The tool uses the standard future-value formula for regular saving to find the payment that grows your starting balance and your deposits to the goal.
The interest rate is treated as an AER, converted to a monthly rate, and held constant. Interest rates in real accounts change, and tax on interest is not included. If you have already reached the goal, the tool says so. If the goal would take over 100 years, it asks you to raise the monthly amount.
Worked example
Using the default values in the calculator above:
| Input | Value |
|---|---|
| What you want to know | How long to reach my goal |
| Savings goal | £20000 |
| Already saved | £2000 |
| Saved each month | £300 |
| Interest rate (AER) | 4 % |
Time to reach your goal: 4 years, 6 months
| Total you pay in | £18,200.00 |
|---|---|
| Interest earned | £1,874.66 |
| Final balance | £20,074.66 |
Tips and common mistakes
Use a cautious rate. Variable savings rates can fall, so try a lower rate to see how sensitive your plan is. Compare the result with a rate of zero to see how much of the goal interest actually contributes, which is often less than people think over short periods.
If you are saving for a large goal, see how a fixed monthly payment compares with the amount you can realistically afford. To see growth with no monthly payments, use Compound interest. See How long to reach a savings goal for more.
Frequently asked questions
How long will it take to reach my savings goal?
Enter your goal, starting balance, monthly saving and AER. The tool adds interest month by month and tells you how many years and months it takes.
Is the interest rate fixed in this calculator?
Yes. The tool holds the rate constant, whereas real savings rates often change. Try a few different rates to test your plan.
Does it include tax on interest?
No. Tax on interest is not included, so your result may be slightly different if your interest is taxable.