This savings calculator shows how your savings grow with regular monthly deposits and compound interest. It gives a year-by-year table, lets you raise deposits each year, and tells you how long it will take to reach a savings goal.
How savings grow
Each month, interest is added to your balance and then your deposit is added. Because interest is earned on past interest, growth speeds up over time. The calculator uses the APY (annual percentage yield) your bank quotes and converts it to the matching monthly rate.
Monthly rate = (1 + APY)1/12 − 1
Worked example
Starting with $5,000 and saving $300 a month at 4% APY, you would have about $51,410 after 10 years. You would have deposited $41,000, and about $10,410 of the balance would be interest.
Where to keep your savings
| Account | Best for | Access |
|---|---|---|
| High-yield savings account | Emergency fund, short-term goals | Any time |
| Certificate of deposit (CD) | Money you will not need for a fixed term | Penalty for early withdrawal |
| Money market account | Larger cash balances, check writing | Any time, sometimes limited |
| Investment account | Goals more than about five years away | Any time, value goes up and down |
Tips to save more
- Automate a transfer on payday so saving happens before spending.
- Increase your deposit when your income rises; the “increase deposits each year” field shows the effect.
- Compare APYs regularly; online banks often pay more than branch banks.
Frequently asked questions
What is the difference between APY and interest rate?
The interest rate is the yearly rate before compounding. APY includes the effect of compounding, so it shows what you actually earn in a year. Use APY to compare savings accounts.
How much should I have in an emergency fund?
A common guideline is three to six months of essential expenses, kept in an easy-to-access savings account.
Is interest on savings taxable?
In the US, interest is generally taxed as ordinary income in the year it is earned. Banks report it on Form 1099-INT if you earn $10 or more.
How long will it take to reach my goal?
Enter your goal in the optional field. The calculator works month by month with your deposits and interest and shows how long it takes to reach it.
Are savings accounts safe?
In the US, deposits at FDIC-insured banks are insured up to $250,000 per depositor, per bank, per ownership category. Other countries have their own deposit protection schemes.
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Sources
Last reviewed: October 2026. This calculator is for education only and is not financial, tax or legal advice.