Savings Goal Calculator
Work out how much you need to save each month to reach your savings goal by a target date.
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Results are estimates only and do not constitute financial advice.
Monthly saving required for common goals
Based on 4.5% annual interest with no existing savings. Click any row to load it into the calculator.
| Goal | 1 year | 2 years | 5 years |
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How it's calculated
First, any existing savings are grown to the target date using compound interest: Future Value = Current Savings × (1 + r)^n, where r is the monthly rate and n is the number of months.
If your current savings already exceed the goal, no monthly saving is needed. Otherwise, the remaining amount is funded by monthly payments using the future value of an annuity formula: PMT = FV × r / ((1 + r)^n − 1).
Interest compounds monthly, meaning each month you earn interest on both your original savings and all the interest already accumulated. The longer your savings period, the more interest does the heavy lifting.
Frequently asked questions
Most financial advisers recommend keeping 3–6 months of essential expenses as an emergency fund before saving toward specific goals. Once your emergency fund is in place, focus on your medium and long-term goals.
The best easy-access savings rates in the UK are currently 4–5%. Fixed-term accounts and cash ISAs can offer more, particularly for longer terms. Shop around on comparison sites to find the best current deals.
Interest in a Cash ISA is always tax-free. In a standard savings account you have a Personal Savings Allowance (£1,000 for basic rate taxpayers, £500 for higher rate) before tax applies. For larger amounts or higher earners, an ISA is usually the better choice.
Results assume a fixed interest rate throughout the saving period. In practice, rates change. This calculator is for guidance only.