How to use the savings goal calculator
- Enter your goal, what you’ve already saved and the interest rate your savings account pays.
- Choose How much per month? and enter your deadline — or How long will it take? and enter what you can save each month.
Interest is compounded monthly, and deposits are made at the end of each month.
Common savings goals
| Goal | Typical target |
|---|---|
| Emergency fund | 3–6 months of essential expenses |
| House down payment | 3.5% (FHA) to 20% (to avoid PMI) of the price, plus closing costs of 2–5% |
| Car | At least 10–20% down, or the full price for used cars |
| Wedding | US averages are around $30,000+, but any budget works |
| Vacation | Flights + lodging + daily spending × days |
Where to keep your savings
For goals within a few years, keep money safe and accessible: high-yield savings accounts, money market accounts, CDs or US Treasury bills. In the US, bank deposits are FDIC-insured up to $250,000 per depositor, per bank. Avoid investing short-term savings in stocks — a market drop right before you need the money can derail your plans.
Tips to hit your goal faster
- Automate it: schedule a transfer on payday so saving happens before spending.
- Use separate accounts (or “buckets”) for each goal so progress is visible.
- Save raises and windfalls — tax refunds, bonuses, gifts.
- Pay off high-interest debt first if its rate is far above what savings earn — compare with the debt payoff calculator.
- For long-term goals, remember inflation raises the target over time.
Frequently asked questions
How much should I save each month?
Divide what you still need by the number of months until your deadline, minus the interest you’ll earn — the calculator does this for you.
How big should an emergency fund be?
Most experts suggest three to six months of essential living expenses.
Does the calculator include interest?
Yes. Enter your account’s APY; interest compounds monthly.
Where should I keep money for a short-term goal?
A high-yield savings account, money market account, CD or Treasury bills — not the stock market.