# How to calculate the future value of savings in Excel

Use FV with the monthly rate, the number of months, the monthly deposit and the starting balance: `=FV(B4/12,B5*12,-B3,-B2)`.

**Excel:** `=FV(B4/12,B5*12,-B3,-B2)` (Every current version)

**Google Sheets:** the same formula works.

## Example

Sample data (row 1 is the header):

| A | B |
| --- | --- |
| Savings plan | Value |
| Starting balance | 5000 |
| Monthly deposit | 300 |
| Annual return | 0.05 |
| Years | 10 |
| Future value |  |

Formula in B6: `=FV(B4/12,B5*12,-B3,-B2)`

Result: $54,819.73

## How it works

FV adds up every deposit plus the growth on it, and the growth on the starting balance. The deposit and the starting balance are money you put in, so both are negative, which makes the future value positive. $41,000 deposited in total grows to about $54,800.

## Other ways

- `=FV(B4/12,B5*12,-B3,-B2,1)`: Type 1 means deposits at the start of each month, so each one earns a month more. (Slightly more: $55,013.83.)
- `=FV(B4/12,B5*12,-B3)`: Without a starting balance. (Only the monthly deposits: $46,584.68.)

## Common mistakes

- Mixing periods: a yearly rate with monthly deposits makes FV compound 5% a month. Divide the rate by 12 and multiply the years by 12.
- Positive deposits give a negative result. FV is reporting money coming back to you as the opposite of money going out.

## Questions

**How much of that is growth?**

Subtract what you put in: `=B6-B2-B3*B5*12`.

**How do I allow for raising the deposit every year?**

FV assumes equal deposits. Build a year-by-year table, or use FVSCHEDULE for changing rates.

Every formula and result on this page was checked by running it in the Spreadsheet Practice formula engine on 2026-10-30.

Source: https://spreadsheetpractice.com/formulas/future-value-of-savings