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Sinking Fund Calculator

Find the regular deposit needed to reach a future sum, like a replacement fund.

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Formula

Deposit per period equals future amount times the periodic rate, divided by one plus the periodic rate to the power of periods, minus one.

How it works

A sinking fund sets money aside gradually for a known future cost — replacing equipment, a roof, or a bond repayment — instead of borrowing at the last minute.

FAQs

How is it different from a savings goal?
It is the same maths, framed for a planned future liability rather than a personal goal.

What if deposits are yearly?
Set deposits per year to 1 and the result is the annual deposit.

Why include interest?
The fund itself earns interest while it builds.

Are these figures financial advice?
No — they are estimates for planning only, not financial advice. Check with a qualified adviser for decisions involving large sums.

Estimates only, not financial advice. Figures are approximate and do not include all fees, taxes, or changing rates unless stated.

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