How to use this savings goal calculator
- Pick your question under "What do you want to know?": "How much to save" if you have a deadline, or "How long it takes" if you know what you can put away each month.
- Enter your savings goal and what you have already saved for it, for example in a savings account or an FD.
- Enter the years to reach your goal (1.5 means 18 months). If you chose "How long it takes", enter your monthly deposit instead.
- Set the interest rate your savings earn, such as the rate your bank quotes for an RD.
The result shows the monthly deposit you need, or how long you need, plus the total you deposit, the interest earned and your goal date. A chart and a year-by-year table show your balance building up.
The savings goal formula
Monthly deposit = (G − S × (1 + i)n) × i ÷ ((1 + i)n − 1) G is your goal, S what you have already saved, i the monthly rate (annual rate ÷ 12 ÷ 100) and n the number of monthly deposits.
Your existing savings grow on their own first. The monthly deposit then fills the remaining gap, and each instalment keeps earning interest until the goal date, so the earliest deposits do the most work. "How long it takes" solves the same equation for n and rounds up to a whole month, so the last deposit usually takes you a little past the target.
Worked example
You want ₹15 lakh in 5 years, the 20% down payment on a ₹75 lakh flat. You have ₹2 lakh saved and earn 7% a year, compounded monthly, so i = 7 ÷ 12 ÷ 100 = 0.583% and n = 60.
- Your ₹2 lakh grows to 2,00,000 × (1 + 0.07 ÷ 12)60 = ₹2,83,525, leaving ₹12,16,475 to find.
- Over 60 months, each rupee you deposit monthly grows by a combined factor of 71.5929.
- Monthly deposit = ₹12,16,475 ÷ 71.5929 = ₹16,991.56.
Over five years you deposit ₹10,19,493 and interest adds ₹2,80,507, about 18.7% of the goal. Flip it to "How long it takes" with ₹15,000 a month and you get there after 67 deposits, or 5 years and 7 months, with ₹3,15,681 of interest. At 0% it would take 7 years and 3 months.
Monthly saving by time frame
The same ₹15 lakh goal, with ₹2 lakh already saved at 7%:
| Time frame | Monthly deposit | Total you deposit | Interest earned |
|---|---|---|---|
| 3 years | ₹31,390.23 | ₹11,30,048 | ₹1,69,952 |
| 5 years | ₹16,991.56 | ₹10,19,493 | ₹2,80,507 |
| 7 years | ₹10,870.48 | ₹9,13,121 | ₹3,86,879 |
| 10 years | ₹6,344.10 | ₹7,61,292 | ₹5,38,708 |
Stretching the plan from 5 to 10 years cuts the monthly deposit by more than 60%, because interest does more of the work. For a goal you must hit by a fixed date, starting early is the cheapest option you have.
Sizing common goals in India
- Home down payment: banks commonly lend up to 90% of the property value for loans up to ₹30 lakh, 80% for ₹30–75 lakh and 75% above ₹75 lakh. Your goal is the rest, plus stamp duty and registration, which each state sets: typically about 5–7% stamp duty and about 1% registration.
- Car: the on-road price, which adds RTO registration and insurance to the ex-showroom price, or a down payment that keeps your car loan EMI small.
- Child's education or a wedding: often many years away, so raise today's cost for inflation before you enter it.
- Emergency fund: three to six months of essential expenses is a widely used guideline. Start with one month if that feels out of reach.
RD, FD or SIP for your goal
An RD takes monthly deposits, so it maps directly onto this plan. An FD suits money you already have, such as the amount under "Already saved". Bank FDs usually compound quarterly, while this calculator compounds monthly, so a bank's own figure may differ slightly. A mutual fund SIP follows the same maths, but its returns are market-linked, not guaranteed, and can fall just before you need the money. To see a lump sum and monthly deposits grow side by side with quarterly compounding, use the compound interest calculator.
Plan in today's rupees
A target set at today's prices will fall short if the goal is years away. At 4% inflation, the RBI's CPI target, a ₹15 lakh cost today becomes ₹18,24,979 in 5 years and ₹22,20,366 in 10. At 6%, the top of the RBI's 2–6% tolerance band, it would be ₹26,86,272 in 10 years. Size the goal with the inflation calculator first, then enter that figure here. For a goal decades away, such as retirement, the retirement corpus calculator is a better fit, because it also plans how you draw the money down.
Frequently asked questions
How much should I save every month to reach ₹10 lakh in 5 years?
Can I use this calculator for an RD?
How much should I save for a home down payment?
Should I keep goal money in an FD, an RD or a mutual fund?
How do I allow for inflation in my goal?
What happens if I start a year later?
Sources and further reading
Independent, official guidance on this topic. Rules differ by country, so check the regulator where you live.
- Reserve Bank of India: regulations, notifications and consumer awareness · Reserve Bank of India
This calculator gives estimates for education and planning. It is not financial advice, and your lender's figures may differ. See how we calculate.