Savings calculator
See savings grow with compound interest, or work out how much to save each month for a goal.
After 10 years
£16,215.81
£3,215.81 of that is interest
- You put in
- £13,000.00
- Interest earned
- £3,215.81
Year by year
| Year | Interest | Balance |
|---|---|---|
| 1 | £62.99 | £2,262.99 |
| 2 | £114.44 | £3,577.43 |
| 3 | £168.00 | £4,945.43 |
| 4 | £223.73 | £6,369.16 |
| 5 | £281.74 | £7,850.89 |
| 6 | £342.10 | £9,393.00 |
| 7 | £404.93 | £10,997.93 |
| 8 | £470.32 | £12,668.25 |
| 9 | £538.37 | £14,406.62 |
| 10 | £609.19 | £16,215.81 |
Show workings
- Growth per month4% a year, added monthly = 0.3333% a month
- Deposits£1,000.00 + £100.00 × 120 months = £13,000.00
- BalanceEach month: balance × growth + £100.00 → £16,215.81
- Interest£16,215.81 − £13,000.00 = £3,215.81
How it works
Compound interest means interest is paid on your interest as well as on what you put in. Each month the balance grows by the monthly equivalent of the annual rate, then that month’s deposit is added.
Savings goal runs it backwards: how much to put away each month so that, with interest, you reach the target in time.
Assumes a fixed rate and deposits at the end of each month, before tax. Real rates change, and interest above your personal savings allowance may be taxed.
Worked example
£1,000 to start plus £100 a month for 10 years at 4% (compounded monthly) grows to about £16,216. You put in £13,000, so £3,216 is interest.
Questions
What is AER?
The annual equivalent rate: what you'd earn in a year once compounding is included. If an account quotes AER, choose yearly compounding here to match it.
Does more frequent compounding make much difference?
A little. At 4%, monthly compounding earns about 4.07% a year, daily about 4.08%. The rate itself and how long you save matter far more.
What about inflation?
Inflation reduces what your savings can buy. To see the growth in today's money, try entering the interest rate minus the inflation rate.