Sunday, August 12, 2012

How Much Will I Have After Monthly Savings

You can calculate on how much you will accumulate by consistently save every month.

Note that there is a negative sign in front of the FV function. This is to make the result to be a positive number.

The FV Function Arguments dialog box shown below:

You need to divide the Interest Rate (B28) by 12 to calculate for monthly savings.

You also need to multiply the No of Payments, Nper (B27) by 12 to calculate for monthly savings. In this example, you made 120 savings in 10 years.

The Payments, Pmt (B26) is the monthly amount you save.

The Present Value, Pv is the initial amount you start during the account opening.  Then, you start saving every month.
The Type is 0 as you start saving only 1 month after the account opening.

Download the file: blog_excel_work_files.xlsx from:

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