# Savings calculator UK: interest and tax | ComputeNow URL: https://computenow.co.uk/savings-calculator/ > See how your savings grow with monthly deposits and interest, after tax on interest above your Personal Savings Allowance. This calculator shows a worked example below. To use your own figures, add them to the URL as query parameters (listed in https://computenow.co.uk/llms.txt), for example https://computenow.co.uk/savings-calculator/?=. [What's Left, step 5 of 7: How much should I put aside?](https://computenow.co.uk/money-plan/#steps) # Savings calculator See how your savings grow with regular deposits and compound interest. Interest compounded monthlyRates checked 18 October 2026 By the ComputeNow team, checked against GOV.UK and HMRC[Sources (2)](#sources)[How we calculate](https://computenow.co.uk/methodology/) After 10 years you will have £32,730.34 including £3,730.34 of interest Where your £32,730.34 comes from - Starting amount £5,000.00 (15%) - Your deposits £24,000.00 (73%) - Interest £3,730.34 (11%) ## Where it comes from | Item | Total | | --- | --- | | Starting amount | £5,000.00 | | Your deposits | £24,000.00 | | Interest earned | £3,730.34 | | Final balance | £32,730.34 | This is an estimate, not advice. It assumes the rate stays the same, no tax on the interest (as in an ISA or within your allowances) and ignores inflation. ### Next steps - [Investment calculator](https://computenow.co.uk/investment-calculator/?monthly=200&years=10&start=5000)Compare investing the same amount. - [Savings goal calculator](https://computenow.co.uk/savings-goal-calculator/?rate=2.06&start=5000)Work back from a target. Added. [See what's left each month](https://computenow.co.uk/money-plan/) [What's Left](https://computenow.co.uk/money-plan/) adds up your monthly figures from each calculator and shows what is left each month. [After 10 years you will have £32,730.34 Breakdown](#result) ## Year by year | Year | Paid in | Interest that year | Balance | | --- | --- | --- | --- | | Year 1 | £7,400.00 | £125.58 | £7,525.58 | | Year 2 | £9,800.00 | £177.60 | £10,103.18 | | Year 3 | £12,200.00 | £230.70 | £12,733.88 | | Year 4 | £14,600.00 | £284.89 | £15,418.78 | | Year 5 | £17,000.00 | £340.20 | £18,158.98 | | Year 6 | £19,400.00 | £396.65 | £20,955.63 | | Year 7 | £21,800.00 | £454.26 | £23,809.89 | | Year 8 | £24,200.00 | £513.06 | £26,722.95 | | Year 9 | £26,600.00 | £573.07 | £29,696.02 | | Year 10 | £29,000.00 | £634.31 | £32,730.34 | ## How compound interest works Interest is added to your balance, and next time interest is paid on that bigger balance too. Over long periods this adds up to much more than the interest on your deposits alone. Most people can earn some savings interest tax-free under the Personal Savings Allowance, and interest in an ISA is always tax-free. ## Common questions ### Do I pay tax on savings interest? Only above your allowances. Basic-rate taxpayers can earn £1,000 of interest a year tax-free, higher-rate £500 and additional-rate nothing. If your other income is low, the £5,000 starting rate for savings can make more tax-free. Interest in an ISA is never taxed. ### How much can I put in an ISA? £20,000 a year in total across all your ISAs. ## Related calculators [Loan repayment calculator Monthly payments and total interest](https://computenow.co.uk/loan-repayment-calculator/)[Credit card payoff calculator How long to clear your balance](https://computenow.co.uk/credit-card-payoff-calculator/)[Loans & savings calculators See all loan and savings tools](https://computenow.co.uk/loans-and-savings/) ## Guides and help ### Our guides [UK interest rates and inflation today Average mortgage, savings, loan and card rates](https://computenow.co.uk/guides/uk-interest-rates-and-inflation/) ### Official services and free advice [Tax on savings interest GOV.UK: the Personal Savings Allowance](https://www.gov.uk/apply-tax-free-interest-on-savings)[Individual Savings Accounts (ISAs) GOV.UK: tax-free saving and investing](https://www.gov.uk/individual-savings-accounts)[Check your money is protected FSCS: cover if a bank or provider fails](https://www.fscs.org.uk/) ## Sources Each source was last checked on 18 October 2026. - [Bank of England: quoted household interest rates (September 2026)](https://www.bankofengland.co.uk/boeapps/database/FromShowColumns.asp?SearchText=IUMBV34&Travel=NIxAZx) - [GOV.UK: Individual Savings Accounts](https://www.gov.uk/individual-savings-accounts) These results are an estimate, not financial advice. They use the 2026/27 rates in force on 24 October 2026 and the inputs shown, so your actual tax, pay or costs may differ. Before making a decision about your money, check the figures with HMRC or your provider, or speak to a regulated financial adviser. Free, impartial guidance is available from MoneyHelper. This page explains the rules using the 2026/27 rates in force on 24 October 2026. It is general information, not financial advice. For decisions about your own money, speak to a regulated financial adviser, or get free, impartial guidance from MoneyHelper.