Savings Calculator – NerdWallet

Use the free savings calculator below to understand how your money can grow over time. When you put money in a savings account, the interest you earn accumulates.

First, run the numbers with no monthly deposit. Then try again with $ 25 or $ 100 per month to see how even adding a small amount regularly can get you closer to your savings goal.

• Starting balance: This is the amount you plan to deposit into the savings account initially.

• Monthly contributions: This is the amount you will deposit on an ongoing monthly basis. It is an optional field.

• Time to grow up: This is the period during which your money will be in savings without withdrawal. You can select a number of years or months.

• Annual interest rate: This is the return you hope to earn. The national average savings rate is 0.06%, although some high yield savings accounts earn much more.

There is no single answer, but the general norm is build up your savings to cover three to six months of basic expenses. If you are able to save 20% of your net income each month, you may be on the right track. But even if you save less, be consistent and you can reach your savings goal.

Multiply the account balance by the interest rate for a selected period. The result is the amount of simple interest the account earns during that period.