How Much to Save Each Month for a Goal (Simple Formula + Examples)
The formula is short:
Monthly saving = (Target − Already saved) ÷ Months left
Examples
| Goal | Target | Saved | Months left | Per month |
|---|---|---|---|---|
| Emergency fund | $6,000 | $1,200 | 13 | $369 |
| Vacation | $2,500 | $240 | 8 | $283 |
| New laptop | $1,400 | $400 | 6 | $167 |
Add the last column together and you have your monthly savings plan: $819 in this case. If that is more than you can afford, push a deadline back or lower a target. Now that trade-off is visible instead of hidden.
Sinking funds
Saving a little every month for something you know is coming (holidays, car repairs, insurance renewals) is called a sinking fund. It turns big surprise bills into small planned ones. Treat each one as its own goal.
How big should an emergency fund be?
A common guideline is three to six months of essential expenses. Start with a first milestone of one month. It already covers most car repairs and medical bills.
Track it
Keep a simple log of each deposit and which goal it was for. A savings tracker adds them up per goal, shows a progress bar, and recalculates the monthly amount as deadlines get closer.
See the template · $6