Sinking Fund Calculator
Find the monthly contribution needed to reach a savings target by a future date.
Assumptions used in this calculation
- Contribution timing: Assumes equal monthly contributions made at the end of each month (an ordinary annuity), with no starting balance.
- Return assumption: Uses a constant expected annual return compounded monthly, if you're saving for a near-term, capital-guaranteed goal, a lower and safer rate than typical equity returns is more realistic.
About this calculator
The sinking fund calculator finds the monthly contribution needed to reach a known future expense (equipment replacement, a tax bill, a large purchase) using the ordinary annuity sinking-fund formula.
Worked example
₹5,00,000 in 24 months at 6%
Result: ₹19,660/month
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