Savings Plan Final Value
Calculates the wealth that grows from a monthly savings rate over the term. Any existing starting capital earns interest too.
Enter your own numbers and press "Calculate" – or load an example on the right; "Type in" replays it on the device.
See how time turns small amounts into a fortune: over 30 years Emma pays in only about $65,000 – the large rest of the final wealth is compound interest. Those who start early let the money work for them.
→ Story & full explanation: Young professional invests monthly
"I can't save" is rarely true – the money just flows unnoticed into daily little things. Jake's $4.50 coffee a day is, over a working life, a small fortune he otherwise lacks.
→ Story & full explanation: The true price of the daily coffee-to-go
Starting capital and an ongoing rate compound on each other: the existing money earns interest over the full term – combining both lifts your final result considerably.
→ Story & full explanation: Starting capital plus ongoing savings rate
Over two decades the gain in value exceeds the total of the deposits several times over – compound interest grows more powerful with every year.
Small, seemingly harmless expenses add up over decades with compound interest into considerable wealth – the regular stake would have produced a real supplementary pension.
Every installment earns interest until the end – early installments longer, late ones shorter. The bracket (qⁿ−1)/(q−1) sums up all these differently compounded contributions at once. q is the growth factor per period: from the effective rate p.a. the matching monthly factor is derived via the ¹ᐟᵐ root. Takeaway: it is not the sum of the deposits that counts, but how long each dollar is allowed to work.
Final value of an ordinary annuity; the effective rate is converted into the periodic rate.