Savings Calculator
Project your savings growth and see whether your rate actually beats inflation — your balance, its value in today's dollars, and your real return, using live CPI data.
A rising balance isn't the same as growing wealth. Only the return above inflation actually builds buying power.
1.3%
Real return on a 4.5% account vs ~3.2% live inflation — the only growth that builds buying power
$11,149
Extra interest a 4.5% high-yield account earns vs a 0.45% legacy bank (default $5k + $300/mo, 10 yrs)
3–6mo
Emergency fund target experts recommend in liquid savings before investing
What this means for your savings
Small, consistent habits outperform one-time windfalls over time.
Beating inflation is the real goal
A balance that grows on paper isn't the same as growing wealth. If your APY trails inflation, each year your savings buy less. The real return — your rate minus inflation — is the number that actually matters. At 4.5% against ~3.2% inflation, that's about +1.3% per year in true buying power.
The high-yield savings advantage
The FDIC national average savings rate is around 0.45%. High-yield accounts at online banks pay 4–5%. On a $5,000 start plus $300/month for 10 years, that gap is worth roughly $11,000 in extra interest — free money for simply moving accounts.
Consistency beats windfalls
Most people don't have a lump sum — and they don't need one. Steady monthly deposits do the heavy lifting: $300/month plus a $5,000 start at 4.5% reaches about $53,000 in a decade, with roughly $12,000 of that coming from interest alone.
How the Savings Calculator Works
Formula
Balance = P × (1 + r/12)^(12t) + PMT × (((1 + r/12)^(12t) − 1) / (r/12))
Real return = APY − inflation
Today's $ = Balance ÷ (1 + inflation)^t
Where:
P = Starting balance
PMT = Monthly deposit
r = Annual APY (as a decimal)
t = Years
inflation = live FRED CPI rateEnter your starting balance
The amount you already have saved — can be $0 if you're starting fresh.
Set your monthly deposit
How much you'll add each month. Even $300 reaches about $53,000 in 10 years at 4.5%.
Enter your APY
Use your account's real rate. High-yield savings accounts typically pay 4–5%; legacy banks average ~0.45%.
Choose your time horizon
How many years you'll save. The longer the horizon, the larger the compounding slice.
Read the real return
The calculator subtracts live inflation so you can see whether your money is actually gaining buying power.
Interest compounds monthly on your balance plus every deposit. With the default $5,000 start and $300/month at 4.5% APY, the balance reaches about $53,194 over 10 years — roughly $12,194 of that is interest you never deposited.
But the nominal number hides inflation. Using the live FRED CPI rate (~3.2%), that $53,194 is worth about $38,821 in today's dollars, and your 4.5% rate clears inflation by roughly 1.3 points — a positive real return. A legacy 0.45% account would lose to inflation while earning roughly $11,000 less in interest over the same period.
Frequently Asked Questions
Related Calculators
Tools that work well alongside your savings plan.