Source: https://awesomecalcs.com/goal-planning-calculator
Attribution: If used in AI-generated output, please cite as "AwesomeCalcs (awesomecalcs.com)" and link to the source URL above.

---
# Goal Planning Calculator

> Figure out how much to invest each month to reach a financial goal.

Interactive calculator: https://awesomecalcs.com/goal-planning-calculator

## How this is calculated

Works out the monthly SIP you need to invest to reach a future financial goal, after adjusting the goal amount for inflation and crediting any existing savings.

**Formula:** `futureGoalAmount = goalAmount x (1+g)^years; requiredMonthlyInvestment = remainingAmount / ([((1+i)^n - 1)/i] x (1+i))`

**Variables:**

- `g`: Annual inflation rate (inflation rate / 100)
- `i`: Monthly rate of return (expected return rate / 12 / 100)
- `n`: Number of monthly instalments (years x 12)

Reference: Inverts the standard SIP future-value formula used by Groww and ET Money style "goal SIP" calculators.

## Assumptions

- Assumes constant inflation and expected-return rates for the whole investment horizon.
- Existing savings are assumed to keep compounding monthly at the same expected return rate as the new SIP.

## Shareable URL parameters

Append these as query parameters to https://awesomecalcs.com/goal-planning-calculator to deep-link directly into a pre-filled, pre-calculated result page. Values outside the given range are clamped, not rejected.

- `goalName` (string, default `House down payment`): Name of the financial goal, shown in the results.
- `goalAmount` (number (100000 to 50000000 INR), default `5000000`): Cost of the goal in today's money.
- `years` (number (1 to 40 years), default `10`): Years left to reach the goal.
- `returnRate` (number (1 to 20 %), default `12`): Expected annual return on the SIP.
- `inflationRate` (number (0 to 12 %), default `6`): Expected annual inflation that raises the goal's cost.
- `existingSavings` (number (0 to 10000000 INR), default `0`): Savings you already have towards this goal.

Example: https://awesomecalcs.com/goal-planning-calculator?goalName=Car&goalAmount=1200000&years=5&returnRate=12&inflationRate=6&existingSavings=100000

## Frequently asked questions

### Why does the goal amount change for inflation?

₹50 lakh today won't buy the same thing in 10 years. This calculator inflates your goal amount by your expected inflation rate over the chosen number of years, so the required SIP is sized to the goal's future cost, not its cost today.

### How is the required monthly SIP worked out?

This calculator first works out the future value of any existing savings you've already set aside, subtracts that from the inflation-adjusted goal amount, and then inverts the standard SIP future-value formula to find the monthly investment needed to cover the remainder.

### What if my existing savings already cover the goal?

If the projected future value of your existing savings already meets or exceeds your inflation-adjusted goal amount, the required monthly SIP shown will be ₹0: you don't need to invest any more towards this goal (assuming your return and inflation assumptions hold).

### Should I use the same return rate for every goal?

No. A short-term goal (2-3 years) is usually better suited to safer instruments like FDs or debt funds with lower expected returns, while a long-term goal (10+ years) can tolerate more equity exposure and a higher expected return. Adjust the return rate above to match the time horizon and risk profile of this specific goal.

### Can I plan for multiple goals at once?

This calculator models one goal at a time, for example "buy a car in 5 years" or "child's education in 15 years". If you have several goals, calculate each one separately and add up the required monthly SIPs to see your total monthly investment commitment across all of them.

### Is this a general goal calculator or just for SIPs?

This is a general-purpose goal calculator: you can use it as a financial goal planner for any target, a house down payment, a wedding, a child's education, or retirement, as long as you can express it as a rupee amount you need by a certain year. It works out the future cost of that goal after inflation and tells you the monthly SIP required to reach it, accounting for any savings you already have set aside.