Savings Account Calculator: How Much Will Your Savings Grow?
Enter your starting balance, monthly deposits, APY and time frame to see your future balance and the interest you will earn, compared with the national average savings rate.
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Key takeaways
- $5,000 plus $200 a month at 4.00% APY grows to about $19,319 in five years, including about $2,319 of interest.
- At the national average savings rate of 0.37% (FDIC, September 21, 2026), the same deposits would earn about $203.
- Use the APY, not the interest rate, when you compare accounts: it already includes compounding.
- Savings rates are variable and interest is taxable, so treat the result as an estimate.
A savings account calculator answers two practical questions: how much will I have if I keep saving like this, and how much of it will the bank pay me? Enter your current balance, what you add each month, the account's APY and how long you plan to save. The result shows your balance, the interest you earn and how much more a competitive rate pays than the national average.
Savings account calculator
Assumes the APY stays the same; savings rates are variable. Interest is taxable as ordinary income.
How the savings calculator works
The calculator turns the APY into an equivalent monthly rate, (1 + APY)1/12 − 1, applies it to the balance each month and adds your deposit at the end of the month. Because the APY already includes compounding, it does not matter whether your bank compounds daily or monthly: the result for a full year matches the advertised APY. For a deeper explanation of daily balances, crediting and APY, see how savings account interest works.
Example: five years of steady saving
You start with $5,000 and add $200 at the end of every month to an account paying 4.00% APY.
| After | Total deposited | Balance |
|---|---|---|
| 1 year | $7,400 | $7,644 |
| 2 years | $9,800 | $10,393 |
| 3 years | $12,200 | $13,253 |
| 4 years | $14,600 | $16,226 |
| 5 years | $17,000 | $19,319 |
Interest adds about $2,319. Left at the national average of 0.37%, the same plan would earn about $203. The deposits are the same; the only difference is where the money sits.
What different balances earn in a year
| Balance | At 4.00% APY | At 0.37% (national average) |
|---|---|---|
| $1,000 | $40 | $3.70 |
| $5,000 | $200 | $18.50 |
| $10,000 | $400 | $37.00 |
| $25,000 | $1,000 | $92.50 |
| $50,000 | $2,000 | $185.00 |
These figures assume the balance stays the same for the year. For a closer look at one common amount, including month-by-month interest and taxes, see how much interest $10,000 earns.
How much to save each month for a goal
To reach a target, the monthly deposit is the goal multiplied by the monthly rate and divided by ((1 + monthly rate)months − 1). At 4.00% APY, starting from zero:
| Goal | Time | Monthly deposit | Interest earned |
|---|---|---|---|
| $10,000 emergency fund | 2 years | $401.19 | $371 |
| $20,000 car or wedding | 3 years | $524.37 | $1,123 |
| $50,000 down payment | 5 years | $755.53 | $4,668 |
Interest helps, but for goals under five years, the deposits do almost all of the work. A higher savings rate matters most for large balances; for building a balance, the monthly amount matters most. Our guide on how much to keep in an emergency fund helps you set the first target.
Choosing the right APY to enter
- Your current account: the APY is on the bank's website or your statement. Many large banks still pay close to the 0.37% national average.
- High-yield savings accounts: leading online banks paid around 4% in early October 2026; see high-yield savings accounts for how they work and what to check.
- Money market accounts: the national average was 0.63%, with competitive accounts close to high-yield savings; compare them in money market vs. savings.
- Fixed rates: if you can leave the money untouched, a CD locks in a rate. The CD calculator shows what it earns by maturity.
Savings rates move with the Federal Reserve's policy rate, which was 3.75% to 4.00% after September 16, 2026. When the Fed cuts, online banks usually lower their APYs within weeks, so a projection over several years is an estimate, not a promise.
Taxes on savings interest
Interest is taxed as ordinary income in the year it is credited, even if you do not withdraw it. Banks send Form 1099-INT when you earn $10 or more. In the 22% federal bracket, $400 of interest leaves about $312 after federal tax. Details, including state tax and accounts for children, are in is savings account interest taxable.
Keep your savings safe
Deposits at FDIC-insured banks and NCUA-insured credit unions are protected up to $250,000 per depositor, per institution, per ownership category. If your savings could exceed that, read FDIC insurance limits before you move money into one account.
Frequently asked questions
How much interest will I earn on my savings?
Multiply your balance by the APY for a rough yearly figure: $10,000 at 4.00% APY earns about $400 in a year. With regular deposits, use the calculator, because each deposit earns interest only from the month it arrives.
Is the APY guaranteed?
No. Savings account rates are variable and can change at any time. Only fixed-rate products such as CDs guarantee the rate for a term.
Do I earn interest on interest in a savings account?
Yes. Credited interest becomes part of the balance and earns interest from then on. The APY already includes this effect.
How much should I keep in a savings account?
Typically your emergency fund, often three to six months of essential expenses, plus money for goals within the next few years. Long-term money usually belongs in retirement and investment accounts.
What is a good savings account interest rate?
Anything well above the national average of 0.37% is better than most banks pay; in early October 2026, competitive online accounts paid around 4%.
