Savings Calculator
Project your savings growth over time with compound interest. Switch between months and years to see how your money grows.
Savings Goals
Future Balance
$38,075
Balance Composition
Growth Over Time
Growth Schedule
| Yr | Contribution | Interest Earned | Total Balance |
|---|---|---|---|
| 1.0 | $7,400 | +$280 | $7,680 |
| 2.0 | $9,800 | +$683 | $10,483 |
| 3.0 | $12,200 | +$1,214 | $13,414 |
| 4.0 | $14,600 | +$1,881 | $16,481 |
| 5.0 | $17,000 | +$2,688 | $19,688 |
| 6.0 | $19,400 | +$3,643 | $23,043 |
| 7.0 | $21,800 | +$4,751 | $26,551 |
| 8.0 | $24,200 | +$6,021 | $30,221 |
| 9.0 | $26,600 | +$7,460 | $34,060 |
| 10.0 | $29,000 | +$9,075 | $38,075 |
How This Calculator Works
This savings calculator estimates the future value of your money based on an initial deposit, regular monthly contributions, and a fixed APY (Annual Percentage Yield). It uses compound interest calculations to show how your money grows over time.
You can switch between months and years to see your savings growth on different time scales. This is especially helpful for short-term goals (like saving for a vacation) or long-term goals (like retirement).
What Is Compound Interest?
Compound interest is the interest calculated on both the initial principal and the accumulated interest from previous periods. This “interest on interest” effect allows your savings to grow exponentially over time, making it one of the most powerful concepts in personal finance.
APY vs. APR: What's the Difference?
APY (Annual Percentage Yield) reflects the total interest earned in one year, including compound interest. APR (Annual Percentage Rate) is the simple interest rate without compounding. For savings accounts, APY is the more relevant metric as it shows your true earnings potential.
Key Factors That Affect Your Savings
- Initial Deposit:Starting with a larger amount gives compound interest more to work with, accelerating your growth from day one.
- Monthly Contributions:Regular contributions are often more impactful than a large initial deposit alone. Consistency is key to building wealth over time.
- Interest Rate (APY):Higher rates mean faster growth. Shop around for high-yield savings accounts that offer competitive rates.
- Time:The longer your money stays invested, the more powerful compound interest becomes. Start early for maximum benefit.
Tips for Maximizing Your Savings
- • Set up automatic transfers to your savings account
- • Compare APYs across multiple banks and credit unions
- • Consider online banks, which often offer higher rates
- • Keep an emergency fund of 3-6 months of expenses
- • Review and increase contributions when you get raises
Important Disclaimer
This calculator provides estimates for educational purposes only. Actual returns may vary based on rate changes, compounding frequency, and other factors. This tool is not financial advice. Consult a financial advisor for personalized recommendations.