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Banking Tools

Savings Account Calculator

Updated Oct 31, 2025
6-min read
Expert Approved
Expert Approved
This article has been reviewed by a
Certified Financial Planner™ for accuracy.
Cassidy Horton, MBA Author Photo
Written by Cassidy Horton, MBA
Cassidy Horton, MBA Author Photo
Written by Cassidy Horton, MBA

Expertise: Banking, home equity, mortgages, financial planning, budgeting, tax planning

Cassidy Horton is a finance writer passionate about helping people find financial freedom. With an MBA and a bachelor's in public relations, her work has been published more than 1,000 times online.

Learn more about Cassidy Horton, MBA
Kristen Barrett, MAT Author Photo
Edited by Kristen Barrett, MAT
Kristen Barrett, MAT Author Photo
Edited by Kristen Barrett, MAT

Expertise: Student loans, mortgages, personal loans, home equity, investing

Kristen Barrett is a managing editor at LendEDU. She lives in Cincinnati, Ohio, with her wife and their three senior rescue dogs. She has edited and written personal finance content since 2015.

Learn more about Kristen Barrett, MAT
Erin Kinkade, CFP® Expert Photo
Reviewed by Erin Kinkade, CFP®
Erin Kinkade, CFP® Expert Photo
Reviewed by Erin Kinkade, CFP®

Expertise: Insurance planning, education planning, retirement planning, investment planning, military benefits, behavioral finance

Erin Kinkade, CFP®, ChFC®, works as a financial planner at AAFMAA Wealth Management & Trust. Erin prepares comprehensive financial plans for military veterans and their families.

Learn more about Erin Kinkade, CFP®

Ever wonder what your money could look like a few years from now if you just let it sit (or added a little extra each month)? This savings calculator shows you.


Enter your current balance, interest rate, and how much you plan to save each month. In seconds, you’ll see how your balance could grow over time, and how much of that growth comes from interest doing the work for you.

Table of Contents
  1. How to use this savings calculator
    1. Inputs: What to enter
    2. Results: What you’ll see
  2. Example
  3. When to use a savings calculator
  4. FAQ

How to use this savings calculator

Not sure what to plug in? Here’s how each field works and what it means for your savings goals.

Inputs: What to enter

  • Starting balance: The amount of money you have in savings right now, whether that’s $0, $50, or $10,000.
  • Years to grow: How long you plan to leave your money in the account. The longer it sits, the more time interest has to multiply.
  • Annual interest rate: The percentage your bank pays you for keeping money in the account. You can find this number (often called APY) on your bank’s website or app.
  • Monthly contribution: How much you plan to add to your savings account each month.
  • Compounding frequency: How often your savings account accrues interest, usually daily, monthly, or quarterly. You can find this info by searching for the word “compound” in your savings account agreement.

Check out our compound interest calculator.

Although current interest rates are around 3.5% to 4%, I prefer not to assume these levels will persist long-term.
For cash account growth projections, I typically use a more conservative rate of 1.5% to 2% to reflect potential fluctuations over time. For short-term projections (generally three years or less), I may use a higher rate, around 3% to 3.5%, to better align with current market conditions.

Erin Kinkade, CFP®
Erin Kinkade , CFP®, ChFC®

Results: What you’ll see

  • Total projected balance: Your future balance, including your starting money, monthly deposits, and all the interest you’ll earn.
  • Future value of starting balance: How much your current savings will grow on its own, without adding anything extra.
  • Future value of contributions: How much your monthly deposits will grow over time if you started from $0.
  • Total principal contributed: The total amount of your own money you’ve put in before interest.
  • Total interest earned: The extra money your savings generated just by sitting in the account and compounding.

Example: How your savings can grow over time

Let’s say you open a savings account with $5,000 and set up an automatic transfer of $100 a month. You pick an account that earns 4% interest, compounded monthly, and let it sit for five years.

At the end of that time, you’d have about $12,757 saved, and roughly $1,757 of that is pure interest. That’s money your money earned while you did nothing.

Now, here’s where it gets interesting

If you kept the same setup—$5,000 starting balance, $100 a month—but used a regular savings account at 0.10%, you’d end up with about $11,040. That’s a difference of more than $1,700 just from choosing a better interest rate.

So when people say high-yield savings accounts “do the heavy lifting,” this is what they mean.

When to use a savings calculator

We personally think using a savings account calculator can be most helpful in the following situations.

When comparing savings accounts

If you’re deciding between a regular and a high-yield account, for example, this savings calculator can help you visualize just how much different interest rates can affect your future balance.

Wanna give it a try? Plug in any rates from our best savings accounts list compared with what you earn in your current savings account to see how much difference it can make.

If clients need access to liquid funds (cash equivalents) within the next 0 to 24 months, I typically recommend moving those funds from their investment account to a high-yield savings account (HYSA).
If we know the exact time frame, and current rates are attractive, a Certificate of Deposit (CD) may be a better fit. Most importantly, when we’re building an emergency savings fund, that money should always be held in a HYSA to ensure safety, liquidity, and steady interest growth.

Erin Kinkade, CFP®
Erin Kinkade , CFP®, ChFC®

When setting short-term goals

Planning a vacation, a new car, or a home down payment? Plug in your goal amount and timeline to see how much you’ll need to save each month to hit your target.

One of the most powerful motivators I use with clients, and one that inspires me as well, is understanding the “why” behind each life and financial goal.
When clients begin to waver or consider pausing their savings, we revisit the deeper reason they set that goal in the first place. This reflection helps us either realign their savings strategy or confidently continue with the original plan.

Erin Kinkade, CFP®
Erin Kinkade , CFP®, ChFC®

When growing your emergency fund

Even if your goal is simply to build a three- or six-month safety net, a savings calculator helps you visualize progress and stay motivated.

When you want to see compound interest in action

It’s one thing to know your money earns interest. It’s another to see how that interest earns its own interest over time. Seeing these numbers IRL can be exciting.

FAQ

What’s a good interest rate for a savings account?

At the moment (in late October 2025), the best savings accounts earn around 3.50% or higher. For context, many traditional savings accounts earn a fraction of this amount, around 0.40% on average.

How often is interest compounded?

Many savings accounts compound interest daily, but you’ll want to double-check your account agreement to confirm what to input into this savings calculator. The rule of thumb is that the more your interest compounds, the faster your balance grows. So daily compounding is best, while yearly compounding would be the worst.

Does the calculator include taxes or fees?

No. This calculator does not include taxes or maintenance fees. If fees get taken out or you plan to withdraw any of your balance early, your actual earnings may end up slightly lower than the estimate. Additionally, the interest earned is taxable as ordinary income at the federal level and at the state level (if your state of domicile assesses income tax).

Article sources

At LendEDU, our writers and editors rely on primary sources, such as government data and websites, industry reports and whitepapers, and interviews with experts and company representatives. We also reference reputable company websites and research from established publishers. This approach allows us to produce content that is accurate, unbiased, and supported by reliable evidence. Read more about our editorial standards.

  • FDIC, National Rates and Rate Caps – October 2025

About our contributors

  • Cassidy Horton, MBA
    Written by Cassidy Horton, MBA

    Cassidy Horton is a finance writer passionate about helping people find financial freedom. With an MBA and a bachelor's in public relations, her work has been published more than 1,000 times online.

  • Kristen Barrett, MAT
    Edited by Kristen Barrett, MAT

    Kristen Barrett is a managing editor at LendEDU. She lives in Cincinnati, Ohio, with her wife and their three senior rescue dogs. She has edited and written personal finance content since 2015.

  • Erin Kinkade, CFP®
    Reviewed by Erin Kinkade, CFP®

    Erin Kinkade, CFP®, ChFC®, works as a financial planner at AAFMAA Wealth Management & Trust. Erin prepares comprehensive financial plans for military veterans and their families.

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