Savins calculator

See whit a savins pot could growe tae gin ye eik a fixed amoont ilka month an the balance earns interest, compoondit monthly. A cash buffer is ane o the cheapest weys tae jouk short-term borraein.

The formula

FV = P × (1 + i)m + C × [ ((1 + i)m − 1) / i ]

P is the stertin amoont, C is the monthly contribution, i is the monthly rate (annual rate dividit bi 12) an m is the nummer o months. Gin the rate is zero, the balance is jist whit ye peyed in.

Wirkit example

Start with £500.00, add £100.00 a month for 5 years at 3% a year. You pay in £6,500.00 and the pot grows to about £7,045.48 — roughly £545.48 of interest.

This is an estimate. Real rates chynge, an interest micht be taxt. It taks a constant rate an that ye niver miss a monthly contribution.