How to Find the Monthly Savings Needed for a Goal in Excel

Work out the monthly deposit to reach a wedding fund on time, using PMT’s future-value argument and money already saved.

You will learn to

• Use PMT with a target future value
• Account for money already saved
• Measure the cost of a shorter deadline

How it works

PMT is usually used for loans, but its fv argument turns it into a savings planner. =PMT(4.5%/12,36,0,30000) returns the monthly deposit needed to reach $30,000 in three years at 4.5% — as a negative number, because deposits are money out.

If you already have savings, enter them as a negative pv: =PMT(4.5%/12,36,-5000,30000). Put a minus sign in front of PMT to show the deposit as a positive amount.

=-PMT(B4/12,B3*12,-B5,B2)