How it works
Future savings = growth of opening balance + future value of end-of-month deposits.
A worked example
Starting with 1,000 and adding 100 monthly at 0% for 10 years gives 13,000.
What to keep in mind
Deposits are made at each month end. Interest compounds monthly at a constant nominal annual rate. Excludes tax, inflation and fees.
How monthly savings and compound interest work
Interest is added to the balance each month, so future interest can be earned on earlier interest as well as on your deposits. The calculator treats the rate as a fixed nominal annual rate divided into 12 monthly periods.
Compare different savings plans
Try changing the monthly deposit, interest rate or saving period to see which has the biggest effect. A small regular increase can compound over a long period, although real account rates may change and inflation affects spending power.
Frequently asked questions
When are deposits added?
At the end of each month, so each new deposit begins earning interest in the following month.
Does the calculator use AER?
Enter a nominal annual interest rate. AER includes the effect of compounding and may produce a different result if entered as though it were a nominal rate.
Are tax and inflation included?
No. The result excludes tax, fees and inflation, and assumes the interest rate stays unchanged.
For general information and planning, not personalised financial or tax advice. Verify important decisions with a qualified adviser.