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Savings Growth Calculator

Initial deposit + monthly contributions + compound interest

Initial Deposit

Monthly Contribution

Annual Interest Rate

Time Period (years)

10y

Compounding

Total Deposited

—

Interest Earned

—

Final Balance

—

Milestone projections

Year	Total Deposited	Interest So Far	Balance

How to use this calculator

This calculator models a savings account where you make an initial lump sum deposit and then add a fixed monthly amount on top. The interest compounds on your growing balance each period.

Tip: Even small monthly contributions make a huge difference over time. Increasing your monthly contribution by just £50/month over 20 years at 4.5% adds over £19,000 to your final balance.

This tool is useful for planning ISA contributions, building an emergency fund, saving for a house deposit, or projecting a pension pot alongside employer contributions.

Making the most of your savings

Use your ISA allowance first. The UK ISA allowance (£20,000/year as of 2025/26) shelters your interest from income tax. Over decades, this tax saving can be substantial.

Automate your contributions. Setting up a standing order on payday means you save before you spend. Research consistently shows automated savers accumulate more than those who save what's left over.

Rate-chase periodically. Savings rates change. Switching accounts when better rates are available — especially for fixed-term bonds — can meaningfully improve your long-term outcome.

🎯Key Point

Make Your ISA Work

The UK ISA allowance is £20,000 per year — and every penny of interest is completely tax-free, forever.

ISA→Tax-free interest

LISA→+25% govt bonus

Bond→Often 0.5–1% more

Other Calculators

💰Simple Interest→ 📈Compound Interest→ 🏠Loan Interest→

Savings Growth — FAQ

UK easy-access savings rates were around 3–5% AER in 2025/26, with fixed-rate bonds typically offering 0.5–1% more. Always check comparison sites like MoneySavingExpert or MoneySuperMarket for the latest best-buy rates, as these change frequently.

Both help. A lump sum benefits from more time in the market; regular contributions build a savings habit and benefit from pound-cost averaging (if investing). Ideally, do both — start with what you have and add monthly contributions on top.

A commonly cited starting target is 3–6 months of essential expenses in an accessible emergency fund. Beyond that, your savings goal depends on your personal situation — house deposit, retirement, financial independence. Use this calculator to work backwards from your target and figure out what monthly contributions you need.

No — this shows nominal (face value) growth. To estimate real returns, subtract the expected inflation rate from your interest rate. For example, if you earn 4.5% and inflation is 2.5%, your real return is approximately 2%. Your savings grow in number, but purchasing power grows more slowly.