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Savings Goal Calculator

Enter your target amount and work backwards — find out exactly what it takes to get there.

Projected Path to Goal

Total Contributed$452,111
Investment Growth$547,889

Required monthly contribution

Save $1,842/month at 7% for 20 years.

$1,842

Year-by-Year Breakdown

YearProjected BalanceTotal ContributedGrowth
Year 1$33,552$32,106$1,446
Year 2$58,806$54,211$4,595
Year 3$85,886$76,317$9,569
Year 4$114,923$98,422$16,501
Year 5$146,060$120,528$25,532
Year 6$179,447$142,633$36,814
Year 7$215,248$164,739$50,509
Year 8$253,637$186,844$66,793
Year 9$294,801$208,950$85,851
Year 10$338,941$231,056$107,886
Year 11$386,272$253,161$133,111
Year 12$437,025$275,267$161,758
Year 13$491,446$297,372$194,074
Year 14$549,801$319,478$230,323
Year 15$612,375$341,583$270,792
Year 16$679,473$363,689$315,784
Year 17$751,421$385,795$365,626
Year 18$828,570$407,900$420,669
Year 19$911,296$430,006$481,290
Year 20$1,000,002$452,111$547,891

Why work backwards from a goal?

Most calculators ask you what you have and show you what you'll end up with. That's useful — but it answers the wrong question. The more powerful question is: given where I want to end up, what do I need to do starting today?

Working backwards from a goal turns an abstract aspiration — “I want to be a millionaire” — into a concrete monthly action: “I need to invest $1,462 per month.” That number is something you can actually act on.

The three ways to reach any goal

Every savings goal has three levers. You can pull any one of them — or some combination of all three:

  • Increase your monthly contribution. The most direct lever. Saving more each month is the fastest way to close the gap, and it's entirely within your control regardless of market conditions.
  • Target a higher return. Moving from a savings account earning 2% to an index fund averaging 7% dramatically changes your outcome. This lever involves more risk — higher expected returns come with more short-term volatility.
  • Give yourself more time. Adding years to your timeline is one of the most underrated strategies. Ten extra years can reduce your required monthly contribution by 40% or more for the same goal.

How the math works

When you invest a fixed amount each month, your money grows through the future value of an annuity. Each contribution earns compound returns for the remaining time in your horizon. Contributions made early have the most time to grow; contributions made late have the least.

This calculator also accounts for money you already have saved. Your existing savings compound for the entire time horizon — which is why even a modest starting balance meaningfully reduces how much you need to contribute each month.

Choosing the right account for your goal

The account you use matters as much as the amount you save — because taxes can erode a significant portion of your returns over time.

  • Roth IRA or Roth 401(k) — Contributions are after-tax, but growth and qualified withdrawals are completely tax-free. Best for long-term goals if you expect to be in a higher tax bracket at retirement.
  • Traditional 401(k) or IRA — Contributions reduce your taxable income today. Growth is tax-deferred. Best if you expect a lower tax rate in retirement than you have now.
  • Taxable brokerage account — No contribution limits, full flexibility. Capital gains are taxed, but you can access the money any time without penalty. Best for goals before retirement age.
  • High-yield savings account — FDIC insured, no market risk. Best for goals under 3 years where capital preservation matters more than growth.

Common savings goals and what they require

GoalTimelineMonthly savings needed*
$100,00010 years$579
$500,00020 years$1,218
$1,000,00030 years$1,020
$1,000,00020 years$2,435
$2,000,00030 years$2,040

*Assumes 7% annual return and $0 starting savings.

Frequently Asked Questions

How do I calculate how much I need to save each month?
Use the future value of an annuity formula: PMT = (Goal − P×(1+r)^n) × r / ((1+r)^n − 1), where P is your current savings, r is the monthly interest rate, and n is the total number of months. This calculator solves that formula instantly for any goal amount.
Is a 7% annual return a realistic assumption?
The U.S. stock market has historically returned around 10% annually before inflation and roughly 7% after inflation. A diversified index fund portfolio is often used with a 6%–8% assumption for long-term planning. For conservative projections, use 5%–6%. For aggressive, growth-oriented portfolios, 8%–10% may be appropriate — but higher assumptions carry more risk of falling short.
What if I can't contribute the required amount right now?
Start with whatever you can afford and increase contributions over time. Even contributing half the required amount today is far better than waiting. You can also adjust the other variables — accepting a longer time horizon, aiming for a slightly lower goal, or targeting a higher-return investment account — to make the math work for your current situation.
How does starting with existing savings affect the result?
Existing savings have a powerful effect because they compound for the entire time horizon. $10,000 already saved grows to roughly $40,000 over 20 years at 7% — without adding a single dollar. The more you already have, the lower your required monthly contribution to reach any given goal.
Where should I invest to reach my savings goal?
The right account depends on your timeline and tax situation. For retirement goals 10+ years away, a Roth IRA or 401(k) offers tax-free or tax-deferred growth. For medium-term goals (3–10 years), a taxable brokerage account with low-cost index funds is a strong option. For short-term goals under 3 years, a high-yield savings account or CDs provide stability without market risk.