Savings Goal Inputs
₹ 10,00,000
₹
₹ 0
₹
24 Months
Mos
7%
%
Monthly Savings Plan
Monthly Amount to Save₹ 40,000
Total Principal Deposited₹ 9,60,000
Interest / Returns Earned₹ 40,000
Goal Progress0%
Savings Progress0%
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Savings Goal Formula
The required monthly savings is calculated by working backwards from your goal using the standard PMT (Payment) annuity formula:
Monthly Savings = Remaining Goal × r ÷ [(1 + r)^n − 1]
Where r = monthly interest rate and n = number of months. Any existing savings reduce the remaining gap via future value compounding.
Frequently Asked Questions
For short-term goals (under 3 years), use 5-7% (high-yield savings or RD/FD rate). For medium-term goals (3-7 years), consider 8-10% (balanced mutual funds). For long-term goals, use 10-14% (equity SIP).
Set the goal to 6x your monthly expenses (the standard emergency fund size). Set the timeline to 12-24 months. Use a conservative 5-7% rate (liquid fund or high-yield savings). This gives you the exact monthly saving target.