Savings Calculator
The savings calculator computes the future value of your savings account by combining regular monthly deposits with compound interest. Enter your initial balance, the amount you plan to deposit each month, the annual interest rate your account earns, and the number of years you plan to save. The calculator will show you the total amount you will have accumulated, broken down into your total contributions and the interest earned. Use this tool to plan for major purchases, build an emergency fund, or understand the long-term growth potential of consistent saving habits.
Savings formula
FV = PV × (1 + r)^n + PMT × (((1 + r)^n - 1) / r)
where PV = initial balance, r = monthly rate (annual rate / 12 / 100), n = number of months, PMT = monthly deposit
The first term calculates growth of your initial balance. The second term calculates the future value of regular monthly deposits using the annuity formula.
How to use this calculator
- Enter your current savings balance in the "Initial balance" field.
- Enter the amount you plan to save each month in the "Monthly deposit" field.
- Look up your account's annual interest rate (APR) and enter it in the "Annual interest rate" field.
- Enter your savings timeline in the "Number of years" field.
- The calculator displays your future account balance, total contributions, and total interest earned.
Understanding your results
Future value is the total amount you will have saved after the specified period, including your contributions and all interest earned.
Total contributions is the sum of your initial balance plus all monthly deposits over the years. This shows how much of your own money you have invested.
Interest earned is the difference between your future value and your total contributions. This is the "free money" your bank pays you for letting them use your funds.
Savings calculator: frequently asked questions
What is future value?
Future value is the amount of money your savings will be worth at a future point in time, accounting for interest earned over that period. It includes both your original deposits and the compound interest earned on those deposits.
How does compound interest work?
Compound interest is earned on both your principal and on previously earned interest. The more frequently interest is compounded (daily, monthly, annually), the more you earn. Over long periods, compound interest significantly boosts your savings.
What interest rate should I use?
Use the annual percentage rate (APR) offered by your savings account or investment vehicle. For high-yield savings accounts, typical rates are 4-5%. For money market accounts or CDs, rates vary. Check your bank or financial institution for the current rate.
How often is interest compounded?
This calculator assumes monthly compounding, standard for most savings accounts. Some accounts compound daily (more frequent means slightly more interest), and others compound annually. Check with your financial institution.
What if my deposit amount changes?
This calculator assumes a constant monthly deposit. For variable deposits over time, you would need to calculate the future value of each deposit separately or use more advanced financial planning software.
Official sources
- U.S. Securities and Exchange Commission (SEC): Saving and Investing.
- Federal Reserve: Consumer Resources.
Reviewed by the CalculatorHub team, edited by James Graham, 14 June 2026. See our methodology.