How Long to Reach Your Savings Goal?
Enter your target, current savings, and monthly contribution to see when you'll get there — with compound growth.
How the math works
We ran $500/month at a 7% assumed annual return, starting at age 25 versus age 35, both continuing to age 65. Starting at 25 produces roughly $1.31 million; starting at 35 produces roughly $610,000 — a gap of about $700,000, even though the 25-year-old only contributes $60,000 more in total (10 extra years at $500/month). The extra contributions account for less than a tenth of that gap; the rest is the additional decade of compound growth on the early money.
Compound growth applies to whatever balance already exists, not just new deposits — which is exactly why an early head start is worth disproportionately more than its own contribution total suggests.
Where this doesn't apply
- 7% is a commonly used historical planning assumption, not a guaranteed return — real returns vary year to year.
- This holds the monthly contribution flat; a more realistic trajectory where contributions grow with income changes the specific numbers.
- Tax-advantaged account contribution limits (401(k), IRA) may cap how much can actually be saved in tax-advantaged form.