Savings Calculator
Project the growth of your savings deposits and plan monthly contributions to reach your financial goals.
Results
The Savings Calculator projects the accumulated balance of your savings deposits over time, including the effect of compound interest on both the initial deposit and any regular contributions.
Savings Strategy Guide
A structured savings strategy combines the right account type, a target balance, and consistent monthly contributions. Selecting the highest-yield account for each savings goal maximizes the growth of idle cash.
Emergency Fund Sizing
An emergency fund should cover 3 to 6 months of essential living expenses. Calculate the target by adding monthly housing costs, utilities, food, insurance premiums, and minimum debt payments. A household with $4,500 in monthly essentials needs an emergency fund between $13,500 and $27,000. This reserve should be held in a high-yield savings account or short-term CD for immediate access.
Savings Account Types
There are 4 primary types of savings accounts available to depositors:
Traditional Savings
0.01–0.50%Branch-based, FDIC-insured, unlimited access. Low APY rates due to physical overhead costs.
Liquidity: HighHigh-Yield Savings
4.00–5.00%Online-only, FDIC-insured, no minimum balance at most providers. Highest variable APY.
Liquidity: HighMoney Market Account
3.75–4.75%Check-writing and debit card privileges. Higher minimum balance requirements.
Liquidity: HighCertificate of Deposit
4.25–5.25%Fixed-rate, fixed-term. Highest guaranteed rates. Early withdrawal penalty applies.
Liquidity: LowMonthly Savings Goal Planner
Enter your savings goal and timeline to calculate the required monthly contribution. The planner accounts for compound interest on your ongoing deposits.
Goal Planner
50/30/20 Budget Rule
The 50/30/20 budget rule allocates 50% of after-tax income to needs, 30% to wants, and 20% to savings and debt repayment. A household earning $5,000 per month after taxes allocates $1,000 per month to savings under this framework. This $1,000 monthly contribution at 4.50% APY grows to $26,253 after 2 years.
Savings Account Insurance
Savings accounts at FDIC-insured banks are protected up to $250,000 per depositor, per institution. Credit union deposits receive equivalent protection through the National Credit Union Administration (NCUA). Depositors with balances exceeding $250,000 should distribute funds across multiple institutions to maintain full insurance coverage.
Start Saving Today
Enter your deposit details above to project the growth of your savings and track progress toward your financial goals.
Calculate SavingsFAQs
How much should I have in savings?
Maintain 3 to 6 months of living expenses in a liquid savings account or short-term CD as an emergency fund. The exact amount depends on individual expenses and income stability.
What is the difference between a savings account and a CD?
A savings account offers unlimited deposits and withdrawals with a variable interest rate. A CD requires a fixed-term commitment with a locked rate that is typically higher than savings account rates.
What is a high-yield savings account?
A high-yield savings account is a deposit account offered primarily by online banks that pays a significantly higher APY — typically 4.00% to 5.00% compared to 0.01% to 0.50% at traditional banks.
How do I build an emergency fund?
Build an emergency fund by calculating 3 to 6 months of essential expenses, opening a high-yield savings account, and setting up automatic monthly transfers until the target balance is reached.
Is a money market account better than a savings account?
A money market account offers check-writing privileges and debit card access that standard savings accounts do not provide. APY rates are similar, but minimum balance requirements are typically higher.