How long until I’ve saved my first million?


How long until I’ve saved my first million?

It will take 7 years and 1 months to save $1,005,515, starting with $20,000 and depositing $5,000 monthly.

Information entered

Deposits & Terms

Initial Balance
$20,000

Regular Deposit
$5,000

Frequency of Deposit
Monthly

Interest rate

Interest rate
20%

Taxes

Taxable Interest?
No

Results

Answer

Amount of time to save $1,000,000
7 years and 1 months

Details

Initial balance
$20,000

Total deposits
$425,000

Total interest earned
$560,515

Total taxes paid
$0

Total saved
$1,005,515

Assumptions and simplifications

  • Results are computed using a standard future-value calculation and your investments’ nominal rate of return, rather than annual percentage yield (APY). Banks are required to advertise APY, which allows direct comparisons between accounts using different compounding schedules. This calculator assumes monthly compounding.

    http://moneycentral.msn.com/investor/calcs/n_savapp/main.asp

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