top of page

Dream Come True Calculator

Personal finance calculators

What is Dream Come true

Dream Come True is a calculator that helps individuals plan for their financial goals by determining the time it takes to save up for their desires, such as vacations or expensive items. By considering the individual's savings strategy and monthly savings, the calculator enables users to find out how long they need to save to reach their financial goals while taking into account their initial account balance and interest rates.

How to use the calculator ?

To use the Dream Come True calculator, follow these steps:

Step 1: Determine your financial goal : Think about what you want to achieve, whether it's purchasing a new car, going on a vacation or buying a new gadget. Be specific and realistic about the cost of the goal.

Step 2: Build your savings strategy : Before using the calculator, you need to answer three important questions:

  1. How much will my dream cost me? Determine the exact or approximate price of the item or experience you're planning to save for.

  2. How much do I already have saved? Calculate the amount you've saved so far for your specific goal or the funds you can contribute from your current savings.

  3. How much can I save every month? Estimate the amount of your monthly income that can be allocated to your financial goal, and try to make this number as high as possible for faster results.

Step 3: Factor in interest rates : Research the interest rates offered by your bank or investment platform. The interest rate will help your money grow, enabling you to achieve your goals faster.

Step 4: Calculate the time needed to save : Using the formula :

T = log(1+R) / log((P+M/R) / (M/R) + I)


  • T: Time, expressed in months

  • P: Price tag on your dream

  • M: Amount of money you save monthly

  • I: Initial balance of your account

  • R: Monthly interest rate

Plug all the values you've determined from steps 1-3 into the formula and calculate the result (T) to find out how many months it will take you to reach your financial goal.

In conclusion, the Dream Come True calculator is a useful tool to help individuals plan for their financial goals and determine the time it will take to save the required amount of money. By answering a few key questions about the cost of their dream, their current savings, and potential monthly savings, users can find out how long it will take to make their dream come true.

Example of Using the Calculator

To understand how to operate this calculator, let's consider an example where you're saving for a new car valued at $33,000. Let's assume you already have $5,000 saved up and can save $1,500 each month. Your bank's interest rate is at 5% yearly, translating into a 0.42% monthly interest.

Once you feed these numbers into the formula, your saving duration comes out to be approximately 18 months. Therefore, with such savings and interest rates, you'll be able to afford a new car in roughly 1.5 years.

bottom of page