Savings Goal Calculator
Find your monthly savings target and track your progress toward any goal.
Savings Goal
Time to Reach Goal
1.5 years
Breakdown
Tip
Keep your savings goal in a high-yield savings account (HYSA) earning 4-5% APY. Automate transfers on payday so you save before you spend.
Turning Financial Goals Into Monthly Habits
Abstract goals like "save more money" rarely succeed. Research consistently shows that specific, measurable targets dramatically increase follow-through. Instead of vague intentions, this calculator converts your goal into a concrete monthly number. Whether you're saving $1,000 for a vacation or $50,000 for a house down payment, knowing the exact monthly amount transforms a wish into a plan.
The math is straightforward: take your target amount, subtract what you already have, factor in interest earned along the way, and divide by the number of months until your deadline. Our calculator handles these projections automatically, including compound interest from a high-yield savings account or money market fund.
Choosing the Right Savings Goal Amount
Not sure how much you need? Here are common benchmarks Americans target:
| Goal | Typical Target | Timeline |
|---|---|---|
| Emergency Fund | 3–6 months expenses | 6–18 months |
| Vacation | $2,000–$8,000 | 6–12 months |
| Used Car | $5,000–$15,000 | 12–24 months |
| New Car Down Payment | $5,000–$10,000 | 12–24 months |
| Wedding | $15,000–$35,000 | 12–24 months |
| House Down Payment | $30,000–$80,000 | 24–60 months |
Where to Park Your Savings
Your savings vehicle should match your timeline. For goals under 2 years, you want safety and liquidity — not market risk.
- High-yield savings account (HYSA) — Best for most goals. Currently paying 4–5% APY with instant access and FDIC insurance up to $250,000. No lock-up period.
- Money market account — Similar rates to HYSAs with check-writing privileges. Good for larger balances.
- CDs (Certificates of Deposit) — Slightly higher rates if you can lock money for 6–12 months. Early withdrawal penalties apply.
- Treasury bills — Government-backed, state-tax-exempt. 4-week to 52-week maturities. Purchased through TreasuryDirect.gov.
The 50/30/20 Connection
Under the 50/30/20 budget rule, 20% of your after-tax income goes to savings and debt repayment. If you bring home $5,000/month, that's $1,000 for savings goals and extra debt payments. Many people split this between an emergency fund and a specific goal — for example, $500 toward building a 6-month emergency reserve and $500 toward a vacation fund.
Automation Makes the Difference
The single most effective savings strategy is automation. Set up an automatic transfer from your checking account to your savings account on payday. When you never see the money in your checking account, you adjust your spending naturally. Studies show people who automate savings save 2–3 times more than those who rely on manual transfers. Most banks let you set up recurring transfers in under five minutes.
Frequently Asked Questions
Should I save or pay off debt first?
Build a small emergency fund ($1,000-$2,000) first, then attack high-interest debt (anything above 7-8%), then grow your emergency fund to 3-6 months of expenses. If your debt interest rate is low (under 5%), you can save and pay debt simultaneously since your savings earn a competitive rate in an HYSA.
How much should I have in emergency savings?
The standard recommendation is 3-6 months of essential expenses (not income). Single-income households, freelancers, and people in volatile industries should aim for 6-9 months. Essential expenses include rent/mortgage, utilities, food, insurance, and minimum debt payments — typically 60-70% of your total spending.