How are Goals calculated?

Savings Goals

Emergency Fund

The platform will suggest a savings goal based on your average monthly spending. The savings goal will be 4 - 6 months if you are single and 3 - 5 months if you are married, depending on job security. The suggested amount can be overridden. 

Enter your monthly savings amount and link the savings account that will hold your emergency fund. Your current savings plus your monthly savings will determine the target completion date. 

Retirement

Check out our article on the Lifetime Income tool, linked HERE.

College

The college savings goal allows you to choose a specific college’s cost or select a national average to establish your total target savings amount. The calculation will also take into account and adjust for the number of years at the school, education inflation, and the rate of return. 

Enter your monthly savings amount and link the savings account that will hold your college savings. Your current savings plus your monthly contribution will project the total target amount by the target completion date. 

College goal data is sourced from the Integrated Postsecondary Education Data System.

Home

The maximum loan amount is determined by figuring out your maximum monthly payment, which is a percentage of your income minus your other monthly debt payments. By adjusting mortgage details, which includes term, interest rate, property tax and insurance, the calculation will determine your maximum loan amount, which can be overridden. 

Additional fields are available to grant the user the ability to edit down payment amounts and closing costs, among others. These help spur calculations for target amount and purchase price.

Enter your monthly savings amount and link the savings account that will hold your home savings.Your current savings plus your monthly contribution will determine the target completion date.

Other

The ‘Other’ savings goal will calculate your target completion date based on your current savings (from your linked savings account) plus your additional monthly savings. 

Debt Reduction Goals

Credit Card

The credit card debt reduction goal begins with linking one or more credit cards accounts to determine your starting balance - which will include the interest you will accrue before it is fully paid off. If you link more than one credit card, you can choose between the ‘Snowball’ strategy, where you pay off the card with the smallest balance first, or the ‘Avalanche’ strategy, where you pay off the card with highest interest rate first. 

The target payoff date will be determined using the minimum monthly payment for your card, plus the additional monthly payment you input. 

Auto Loan

The auto loan debt reduction goal will first have you link your auto loan account and adjust the loan details, such as original loan amount, monthly payment, and interest rate. The balance to be paid off will be pulled from your linked account and include the interest you will accrue before it is fully paid off.  

The target payoff date will be determined using the required monthly payment for your vehicle, plus the additional monthly payment you input. 

Student Loans

The student loan debt reduction goal will first have you link your student loan accounts and adjust the loan details, such as original loan balance, minimum monthly payment, and interest rate. The balance to be paid off will include your current account balance as well as any interest you will accrue before the loans are fully paid off. 

The target payoff date will be determined using the required monthly payment for your loan, plus the additional monthly payment you input.  

Mortgage

The mortgage debt reduction goal will first have you link your mortgage account and adjust the loan details, such as original loan amount, required monthly payment, and interest rate. The balance to be paid off will include your current account balance as well as any interest you will accrue before the loans are fully paid off. 

The target payoff date will be determined using the required monthly payment for your loan, plus the additional monthly payment you input.  

Other

The ‘Other’ debt reduction goal will first have you link your applicable loan account and adjust your loan details, such as original debt balance, minimum monthly payment, and interest rate. The balance to be paid off will include your current account balance as well as any interest you will accrue before the loan is fully paid off. 

The target payoff date will be determined using the minimum monthly payment for your loan, plus the additional monthly payment you input.