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Ireland Savings Goal Calculator

Work out the monthly saving needed to hit a target by a chosen date, allowing for interest and Irish DIRT on the growth.

Published

Written by PennyCompass Team

How much to save each month to hit your target.

Monthly saving needed (net of DIRT)

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Monthly (gross rate)

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Total contributed

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Interest earned

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Your breakdown

Updates live as you type
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Worked example

Say you want 20,000 euro in 3 years (36 months), already have 2,000 euro saved, and your account pays 3% a year. DIRT at 33% is charged on the interest, so the rate you actually keep is closer to 2.01%. The tool first grows your existing 2,000 euro at the net rate, then works out the level monthly amount whose compounded value fills the gap to 20,000 euro. That comes to about 482.15 euro a month after DIRT, against about 473.46 euro if the full 3% were tax free. Over the 36 months you contribute roughly 19,357 euro of your own money, and interest net of DIRT supplies the remaining 643 euro or so to reach the target.

How it is calculated

The tool uses the future value of an annuity in reverse. It first compounds your current savings forward to the target date at the monthly rate, then subtracts that from the target to find how much the monthly contributions must supply. Dividing that remaining amount by the annuity factor, which is the compounded sum of one euro saved each month, gives the required monthly saving. Crucially it runs the calculation twice: once at the gross rate you quoted, and once at the rate net of DIRT. Deposit Interest Retention Tax is charged at 33% on interest in most Irish deposit accounts, usually deducted at source by the bank, so the net rate is what really drives how fast the balance grows. Planning around the after-tax return gives a monthly figure you can actually hit. If interest were zero the calculation falls back to simply splitting the gap evenly across the months.

Frequently asked questions

Is interest on Irish savings taxed?
Yes. Deposit Interest Retention Tax (DIRT) is charged at 33% on interest earned in most Irish deposit and savings accounts, usually deducted at source by the bank. This calculator shows both the gross interest assumption and the net amount after DIRT, so your required monthly saving can be planned around the after-tax return.
Are there any DIRT exemptions for savers in Ireland?
Yes. Revenue allows full DIRT exemption for individuals aged 65 or over (or their spouse or civil partner) whose total income is below the exemption limit, currently 18,000 euro for a single person and 36,000 euro for a couple in 2026. People who are permanently incapacitated and whose income is below the exemption limit also qualify. You apply directly to your bank or credit union using Revenue form DE1 or, for medical card holders, form DE2. This tool assumes the standard 33% rate applies; if you qualify for exemption you can set the rate to zero by entering a gross rate and noting the net figure will match.
Does DIRT apply to credit union accounts?
It depends on the account type. Dividends paid on credit union share accounts are subject to DIRT at 33%, the same rate as bank deposit interest. However, loan interest rebates from a credit union are treated differently and are not subject to DIRT. Revenue confirmed the 33% DIRT rate applies from 1 January 2014 and has remained at that level through the 2025 Finance Act. Always check your annual credit union statement, which should show the DIRT withheld, and include any DIRT-taxed income in your self-assessment if you are a chargeable person.
Can Irish savers use State Savings products to avoid DIRT?
State Savings products from the National Treasury Management Agency (NTMA), including Prize Bonds, Savings Certificates, Savings Bonds, and National Solidarity Bonds, are exempt from DIRT and from income tax on any returns. They are backed by the Irish government and are therefore considered very low risk. The trade-off is that most products have fixed terms ranging from 3 to 10 years and early encashment penalties apply. If your savings goal timeline matches an available State Savings term, the tax-free compounding can outperform a taxed deposit account at the same headline rate.

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Sources

  1. Revenue — Capital Gains Tax and Capital Acquisitions Tax, Revenue (Office of the Revenue Commissioners), Ireland
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