About the Home Deposit Savings Calculator
This projects how long it will take to reach your home deposit goal, based on what you've already saved, how much you contribute each month, and the interest rate your savings earn. It also shows the interest you'd earn along the way, which can meaningfully shorten your savings timeline.
How it works
It simulates your savings balance month by month: each month, the balance grows by the monthly interest rate (your annual rate divided by 12) and then your monthly contribution is added, repeating until the balance reaches your target deposit amount. The number of months taken is converted to years and months, and total interest earned is the final balance minus your current savings and minus all the contributions you made along the way.
Assumptions and behaviour
- Assumes a constant monthly contribution and a constant interest rate for the entire savings period.
- Interest is compounded monthly, a common basis for high-interest savings accounts in Australia.
- The simulation is capped at 600 months (50 years) — if the goal isn't reached by then, the tool reports that instead of an exact time.
Limitations
- Doesn't account for government grants or schemes (like the First Home Guarantee or state First Home Owner Grants) that could reduce the deposit you need to save.
- Doesn't model changing interest rates, irregular contributions, or tax on interest earned — interest income is generally taxable in Australia.
- For the deposit percentage typically required and Lenders Mortgage Insurance implications, see the First Home Buyer Deposit Calculator or Lenders Mortgage Insurance Calculator.
Privacy
The calculation runs entirely in your browser. Nothing is uploaded or stored.
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