# How do I reach my savings goal?

Works out how much to save each month to reach a savings goal by a date, from what you have now and the account’s APY, with the deposits, the interest and the balance month by month.

- Page: https://www.acalculator.org/finance/savings-goal-calculator
- JSON spec: https://www.acalculator.org/finance/savings-goal-calculator.json
- Version: 162e1e698d2d

## Default answer

Example with the default inputs (Savings goal $10,000.00, Saved so far $1,000.00, APY (annual percentage yield) 4%, Years 3): Save $232.69 a month to reach $10,000.00.

## Inputs

| Key | Label | Description |
| --- | --- | --- |
| goal | Savings goal | The balance you want to have at the end. |
| initial | Saved so far | The amount in the account at the start. |
| apy | APY (annual percentage yield) | The yearly yield the account pays, with compounding included. |
| years | Years | How many whole years until you want the money. |
| months | and months | Extra months on top of the years. |

## Outputs

| Key | Label | Description |
| --- | --- | --- |
| monthly | Save each month | The deposit at the end of every month that makes the final balance equal the goal; $0 if the start already reaches it. |
| deposits | Your money | What you had at the start plus every monthly deposit. |
| interest | Interest earned | The final balance minus your money. |
| balance | Balance at the end | The balance after the last month: the goal, or more if the start alone grows past it. |
| saved | New deposits in all | The monthly deposit × the number of months. |
| months | Months | The number of monthly deposits: 12 × years + months. |

## Method

g = (1 + APY)^(1/12) − 1; monthly deposit D = (G − P(1 + g)^n) × g ÷ ((1 + g)^n − 1), or (G − P) ÷ n at 0%, never below 0; each month interest = balance × g, then D is added.

## Assumptions

- The APY stays the same for the whole time. Savings rates can change at any time.
- Deposits are made at the end of each month, the same amount every month.
- Tax on interest is not taken out.
- This is an estimate for planning, not financial advice.

## Worked examples

1. goal = $12,000.00, initial = $0.00, apy = 0%, years = 2 gives monthly = $500.00, deposits = $12,000.00, interest = $0.00, months = 24. Source: U.S. Securities and Exchange Commission, Investor.gov, Savings goal calculator (the amount to save each month to reach a goal), https://www.investor.gov/financial-tools-calculators/calculators/savings-goal-calculator (retrieved 2026-10-02).
2. goal = $10,000.00, initial = $1,000.00, apy = 4%, years = 3 gives monthly = $232.69, balance = $10,000.00. Source: Consumer Financial Protection Bureau, Regulation DD (Truth in Savings), 12 CFR 1030, Appendix A: annual percentage yield calculation, https://www.consumerfinance.gov/rules-policy/regulations/1030/a/ (retrieved 2026-10-02).
3. goal = $5,000.00, initial = $6,000.00, apy = 2%, years = 1 gives monthly = $0.00, balance = $6,120.00. Source: Consumer Financial Protection Bureau, Regulation DD (Truth in Savings), 12 CFR 1030, Appendix A: annual percentage yield calculation, https://www.consumerfinance.gov/rules-policy/regulations/1030/a/ (retrieved 2026-10-02): a balance left a year grows by the APY, 6,000 × 1.02 = 6,120, already past the goal.
4. goal = $20,000.00, initial = $2,000.00, apy = 5%, years = 1, months = 6 gives months = 18, monthly = $957.67. Source: U.S. Securities and Exchange Commission, Investor.gov, Savings goal calculator (the amount to save each month to reach a goal), https://www.investor.gov/financial-tools-calculators/calculators/savings-goal-calculator (retrieved 2026-10-02).

## FAQ

### How much do I need to save each month to reach my goal?

Without interest, divide what is left by the months: $12,000 in 2 years from $0 is 12,000 ÷ 24 = $500 a month. With interest the deposit is a little less, because the balance earns as it grows: $10,000 in 3 years from $1,000 at 4% APY needs about $232.69 a month.

### What formula does the savings goal calculator use?

With a starting balance P, goal G, n months and monthly rate g = (1 + APY)^(1/12) − 1, the deposit is D = (G − P(1 + g)^n) × g ÷ ((1 + g)^n − 1). It is the future value of a monthly deposit solved for the deposit, and it gives the same answer as the goal section of the savings calculator.

### What if I already have enough?

If what you have now grows past the goal by itself, the deposit is $0. $6,000 at 2% APY is $6,120 after a year, already more than a $5,000 goal.

### What APY should I use?

Use the APY your bank quotes for the account. The APY includes compounding, so a balance left for a year grows by exactly that percent. High-yield savings rates change often; rerun the plan when your rate changes.

### Does the calculator include taxes?

No. Interest on a savings account is taxable income, reported on Form 1099-INT, so if you pay the tax from the account you may need to save a little more. The estimate also assumes the same deposit at the end of every month.

## Sources

- Consumer Financial Protection Bureau, Regulation DD (Truth in Savings), 12 CFR 1030, Appendix A: annual percentage yield calculation. https://www.consumerfinance.gov/rules-policy/regulations/1030/a/ (retrieved 2026-10-02)
- U.S. Securities and Exchange Commission, Investor.gov, Savings goal calculator (how much to save each month to reach a goal). https://www.investor.gov/financial-tools-calculators/calculators/savings-goal-calculator (retrieved 2026-10-02)