Summary
Use this to separate money you deposit from interest earned, so you can judge whether a deposit plan and rate assumption meet a savings goal.
Calculation details
The annual rate is divided by 12. The starting balance compounds monthly, and each monthly deposit is treated as an ordinary end-of-month contribution. Rates and deposit amounts are held constant for the projection.
Formula
Ending balance = P(1 + r)^n + D[(1 + r)^n − 1] ÷ r, using monthly rate r. At 0%, ending balance = P + Dn.
Worked example
$5,000 plus $300 monthly
Saving for five years at 4% produces an ending balance of approximately $25,994.68.
How it works
Enter a current balance, planned monthly deposit, annual rate, and saving period. Raise deposits or years to see goal feasibility; treat rate as an assumption, not a guarantee.
Frequently asked questions
What does this savings projection estimate include?
It assumes monthly compounding, end-of-month deposits, and a constant rate.
When is this savings projection most useful?
When estimating a savings balance from a starting amount, monthly deposits, and a steady rate.
Are displayed values rounded?
The formula keeps full numeric precision. Values are rounded only when formatted for display.
Can actual results differ?
Yes. Rate changes, fees, taxes, and irregular deposits can produce a different ending balance.