Savings goal
Invert a monthly investment. You type the target, the years, and a return. The return is not a promise, and the result does not subtract tax.
Monthly deposit
₹7,589
At the start of each month, before tax. Zero means today's savings already reach the target at the return you typed.
If you add nothing
₹2,50,693
What must already be saved for the target to arrive with no new deposits.
Today's savings grow to
₹0
The same monthly compounding as the SIP calculator. Not a promise.
How the number is calculated
Each deposit is treated as going in at the start of the month, then growing at one-twelfth of the annual rate you typed. That is the same formula as the SIP calculator, run backwards. “If you add nothing” is the amount that must already be invested for the target to arrive with no further deposits. It compounds monthly in the same way. If today’s savings already grow past the target, the monthly deposit is zero.
At a return of 0, the monthly deposit is the gap divided by the number of months. Use that as a check.
How to use it
A goal inside two or three years should use a small return, or zero. A 12 percent figure is a long-term assumption people type for an equity fund. It is a poor assumption for money you have already promised to spend. The page on money you will need soon is about where that short-dated money sits.
What this leaves out
Tax, a year when the return is negative, and the chance you skip a month. Nothing you type is saved in this browser for the next visit. The worked example on financial independence is a different sum: about 25 times a year of spending, not this monthly deposit.