Savings Goal Calculator

The required monthly contribution is calculated by projecting your current savings forward at your expected rate of return, subtracting that projected amount from your goal, and dividing the remaining gap by an annuity factor that accounts for growth on your future monthly contributions. A $10,000 goal starting from $0 at a 5% return over 3 years requires $258.04 per month.

Every dollar you already have saved grows on its own, reducing how much you need to contribute directly. Reaching a $20,000 goal in 10 years at 5% requires $128.80 per month starting from $0, but only $22.73 per month if you already have $10,000 saved - the existing balance alone accounts for most of the growth needed.

A longer timeline spreads the same goal across more contributions and gives each one more time to grow, so the required monthly amount falls substantially. A $20,000 goal at 5% starting from $0 requires $294.09 per month over 5 years, but only $48.66 per month over 20 years - roughly a sixth of the amount, not just a quarter, because of the added growth.

A higher rate of return means your contributions and existing balance do more of the work on their own, lowering the amount you need to contribute. Reaching $20,000 in 10 years requires $166.67 per month at a 0% return, but only $103.35 per month at a 9% return - the difference is the return doing roughly a third of the work.

The required monthly contribution is $0 - if your current savings, projected forward at your expected rate of return, already reach or exceed your goal, there is nothing further you need to contribute for the calculation to work out. This calculator will never show a negative required contribution.

Monthly contributions and monthly compounding match how most people actually save - a fixed transfer once a month into an interest-bearing or investment account - and it is the standard framing used by savings-goal calculators generally. If you plan to contribute on a different schedule, treat the monthly figure as a target total to set aside each month regardless of how you split the transfers.

It depends entirely on where the money is held: a high-yield savings account or CD might realistically earn a low single-digit percentage, while a diversified investment portfolio has historically returned more over long periods but with real risk of loss in any given year. This calculator does not recommend a rate - enter the return that matches your actual account type, and be conservative rather than optimistic for money you cannot afford to come up short.

The Compound Interest Calculator answers "how much will my money grow to" given a lump sum, while this calculator answers the reverse question: "how much do I need to contribute" to hit a specific target. They use the same underlying growth math - a lump sum left to compound, plus ongoing contributions - just solved for different variables, and are commonly used together: check what a lump sum alone would grow to first, then use this calculator to close the remaining gap.