How to Use Our Savings Goal Calculator

3 min read

How to Use Our Savings Goal Calculator

Whether you are saving for a vacation, a down payment, or a new car, our Savings Goal Calculator tells you exactly how much to set aside each month.

What to Enter

• Goal Amount -- The total amount you want to save.
• Current Savings -- What you have already saved toward this goal.
• Time Frame -- How many months or years you have to reach the goal.
• Interest Rate -- The APY on your savings account (if applicable). High-yield savings accounts currently offer 4-5%.

Reading Your Results

Monthly Savings Required -- The amount you need to save each month to hit your target on time. This accounts for any interest earned on your savings along the way.

Total Contributions -- How much of the final amount comes from your deposits.

Interest Earned -- How much your savings earn in the account over the time period.

Practical Examples

Emergency fund ($15,000 in 12 months): $15,000 / 12 = $1,250/month (roughly, before interest)

Vacation ($3,000 in 6 months): $3,000 / 6 = $500/month

House down payment ($60,000 in 3 years): About $1,570/month in a high-yield savings account at 4.5% APY

Making It Happen

Once you know the monthly number, automate it. Set up an automatic transfer from checking to savings on payday. Money you never see is money you never spend.

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