The table gives the months required to reach a target at a given monthly contribution, without interest. That is deliberately the pessimistic figure — the section below covers what a real savings account adds, which at short horizons is less than people expect.
Open the savings goal calculator →| Goal | Saving per month | Months | That is |
|---|---|---|---|
| $1,000 | $200 | 5 | 5 mo |
| $1,000 | $500 | 2 | 2 mo |
| $1,000 | $1,000 | 1 | 1 mo |
| $5,000 | $200 | 25 | 2 yr 1 mo |
| $5,000 | $500 | 10 | 10 mo |
| $5,000 | $1,000 | 5 | 5 mo |
| $10,000 | $200 | 50 | 4 yr 2 mo |
| $10,000 | $500 | 20 | 1 yr 8 mo |
| $10,000 | $1,000 | 10 | 10 mo |
| $15,000 | $200 | 75 | 6 yr 3 mo |
| $15,000 | $500 | 30 | 2 yr 6 mo |
| $15,000 | $1,000 | 15 | 1 yr 3 mo |
| $20,000 | $200 | 100 | 8 yr 4 mo |
| $20,000 | $500 | 40 | 3 yr 4 mo |
| $20,000 | $1,000 | 20 | 1 yr 8 mo |
| $25,000 | $200 | 125 | 10 yr 5 mo |
| $25,000 | $500 | 50 | 4 yr 2 mo |
| $25,000 | $1,000 | 25 | 2 yr 1 mo |
| $50,000 | $200 | 250 | 20 yr 10 mo |
| $50,000 | $500 | 100 | 8 yr 4 mo |
| $50,000 | $1,000 | 50 | 4 yr 2 mo |
| $100,000 | $200 | 500 | 41 yr 8 mo |
| $100,000 | $500 | 200 | 16 yr 8 mo |
| $100,000 | $1,000 | 100 | 8 yr 4 mo |
| $250,000 | $200 | 1250 | 104 yr 2 mo |
| $250,000 | $500 | 500 | 41 yr 8 mo |
| $250,000 | $1,000 | 250 | 20 yr 10 mo |
| $500,000 | $200 | 2500 | 208 yr 4 mo |
| $500,000 | $500 | 1000 | 83 yr 4 mo |
| $500,000 | $1,000 | 500 | 41 yr 8 mo |
| $1,000,000 | $200 | 5000 | 416 yr 8 mo |
| $1,000,000 | $500 | 2000 | 166 yr 8 mo |
| $1,000,000 | $1,000 | 1000 | 83 yr 4 mo |
Over a short horizon, interest barely moves the answer. Saving $200 a month toward $1,000 takes five months with no interest and five months at 5% APY — the balance is too small, for too short a time, for compounding to matter. Quoting an interest-adjusted figure there would imply a precision that does not exist.
Interest starts to matter past roughly the two-year mark. On a five-year goal at 5% APY you might reach the target two to three months early; on a ten-year goal the effect is substantial and the table understates your progress considerably.
Chasing a better savings rate is worth an afternoon, not a month. Moving $10,000 from 4% to 5% earns about $100 more a year. Raising a monthly contribution from $400 to $500 adds $1,200 in the same year. Below about five years, the amount you put in dominates the return you get on it — the rate only becomes the larger lever once the balance is big relative to the contribution.
The standard advice is three to six months of expenses — expenses, not income, which is usually a materially smaller and more achievable number. Three months suits stable salaried employment with a second household income. Six or more suits variable income, sole earners, or anyone in a field where finding a new role takes time.
Start with one month before optimising anything. A single month of expenses in cash converts most unexpected bills from a credit-card balance into an inconvenience, and it is the point at which the fund starts doing its job.
For anything you might need inside two years, the account should be boring and immediately accessible: a high-yield savings account. Money you cannot withdraw without penalty is not an emergency fund, and money invested in the market may be worth less on the day you need it. Longer goals — a deposit five or more years out — are a different question and belong with the investment calculators.
Because at short horizons it changes almost nothing — $200 a month toward $1,000 takes five months either way. Past two years interest starts to matter, and the table becomes conservative.
Build one month of expenses, then clear anything above roughly 7% interest, then return to the fund. Carrying credit-card debt at 20% while saving at 5% loses money every month.
Three to six months of expenses. Three if your income is stable and shared; six or more if it is variable or you are the sole earner.
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