Do you know how much your savings are earning you today? Do you know what the value of your savings account will be in one year? Or 10 years? Or 20? Understanding what your savings account is worth can help you make budget decisions and determine how much you need to save now and in the future.
The savings calculator on this page will help you understand what the current value of your savings account is, and how much more you can earn by making a deposit.
To use the savings calculator, enter the initial amount of your savings account (how much is in the account right now?). Next, enter the amount you will be depositing into the account on a regular basis. Next, select the interest rate assigned by your bank for the account. Then enter the savings term you would like to see results for. Finally, enter the deposit frequency (how frequently will you be depositing the amount entered in the "deposit amount" field into your account?).
The calculator will reveal the total balance of your account at the end of your specified term. It will also show the amount that you've invested, and the total amount of interest earned during that term. Try adjusting the deposit amount, deposit frequency and savings term to see the true power of your savings account.
- Begin depositing any windfall income earned (salary bonuses, lottery winnings, gifts, tax returns, or other unexpected income) into your savings account to boost your nest egg.
- When you create your budget, allocate a specific amount to leisure and entertainment activities. Withdraw the specified amount in cash each month, and keep the cash in a jar or envelope. When the money from the envelope or jar is depleted, you cannot spend any more money on that category for the month. If a surplus remains at the end of the month, deposit the funds in your savings account.