Savings Calculator
Growth vs. Goal Planning
Results
Final Balance (Nominal)
$94,111.23
Total Contributions: $70,000
Savings Growth Over Time
Future Value breakdown
$70,000
$24,111
Total Contributions
Net Interest (After-Tax)
Final Balance (Nominal)
$94,111.23
Total Contributions
$70,000.00
Total Interest (Gross)
$24,111.23
Annual Schedule Breakdown
| Year | Total Contributions | Total Interest (Gross) | Nominal Balance |
|---|---|---|---|
| 0 | $10,000 | — | $10,000 |
| 1 | $16,000 | $651 | $16,651 |
| 2 | $22,000 | $1,642 | $23,642 |
| 3 | $28,000 | $2,991 | $30,991 |
| 4 | $34,000 | $4,716 | $38,716 |
| 5 | $40,000 | $6,837 | $46,837 |
| 6 | $46,000 | $9,372 | $55,372 |
| 7 | $52,000 | $12,345 | $64,345 |
| 8 | $58,000 | $15,776 | $73,776 |
| 9 | $64,000 | $19,690 | $83,690 |
| 10 | $70,000 | $24,111 | $94,111 |
Frequently Asked Questions
- Simple interest is calculated only on the initial principal. Compound interest is calculated on the principal plus any accumulated interest, meaning your balance grows faster over time as interest earns interest on itself. For a detailed guide, see Investopedia’s guide on compound interest.
- Interest earned in standard savings accounts is often taxable as ordinary income. If you input a tax rate (e.g. 15% or 22%), the calculator deducts this from the interest earned before compounding it, showing your actual net growth. For US taxpayers, you can learn about tax rules on interest at IRS Topic No. 403 Interest Income.
- Nominal balance is the actual amount of currency in your account. Real inflation-adjusted balance represents the purchasing power of that money. If inflation is 2.5% per year, your money buys 2.5% less each year, which reduces your real wealth growth. Read more on Wikipedia’s Real vs. Nominal Value).
- The more frequently interest compounds (e.g., daily vs. monthly or annually), the more cycles of interest-earning-interest occur, which yields a slightly higher annual percentage yield (APY). Daily compounding is the most beneficial. Compare the compounding rates at Wikipedia’s Compound Interest page.
- Growth mode calculates the future value of your savings based on a fixed recurring contribution. Goal mode performs the reverse: you specify a target goal (e.g., $50,000 in 5 years), and the calculator solves for the exact contribution needed to hit that target.