What this calculator does
Sinking fund payment works out the regular deposit needed to reach a target sum by a future date. Enter your own figures above and the answer updates as you type: nothing is fixed in the code, so the result reflects exactly the numbers you supply.
The formula this calculator evaluates is printed under the tool and explained below, so you can check the working by hand or reuse it in a spreadsheet.
The formula
FormulaPayment = Target × [i ÷ ((1+i)^(n×t) − 1)], i = annual rate ÷ n
The inputs explained
| Field | What to enter |
|---|---|
| Target amount to accumulate ($) | A number, measured in your currency. Starts at 150000. |
| Annual interest rate (%) | A number, measured in %. Starts at 3. |
| Compounding periods per year | A number. Starts at 12. |
| Years until the target is due | A number. Starts at 5. |
Worked examples
Every figure in the tables below is produced by this page’s own calculator at build time, so the numbers and the tool always agree. Select any row to load that scenario.
How the answer changes with target amount to accumulate
Every other input is held at the calculator’s starting values while target amount to accumulate varies. Select any row to load that scenario into the calculator.
How the answer changes with target amount to accumulate