How Long Does It Take to Save $1 Million?

A million dollars still sounds like a fortune — but it's a realistic target for a steady saver who starts early enough. The two levers are how much you invest each month and how long it compounds. Here's exactly what it takes, with the numbers, and why time matters far more than the monthly amount.

How much per month to reach $1 million

Assuming you invest a fixed amount every month and it grows at a steady annual return (compounded monthly), here's the monthly contribution needed to hit $1,000,000:

Look at the 7% column — a reasonable long-run assumption for a diversified stock portfolio before inflation. Reaching $1M needs about $1,920/month over 20 years, $820/month over 30 years, or just $381/month over 40 years. The 40-year saver puts in a fraction of what the 20-year saver does each month — because compounding does the heavy lifting when given time.

The other way to read it: how long at a set amount

If you'd rather fix the monthly amount and see the timeline, at a 7% return:

Why starting early beats saving more

The headline lesson is in the gap between the rows. Going from 30 to 40 years of saving — just ten extra years — roughly halves the monthly amount needed (from ~$820 to ~$381 at 7%). No realistic increase in your savings rate matches the power of an extra decade of compounding. A 25-year-old saving modest amounts will usually beat a 35-year-old saving aggressively, because those first ten years compound for the entire journey. If you take one thing away: start now, even small.

What the numbers assume (and real-world caveats)

• Steady returns. Markets don't deliver 7% smoothly — they lurch. The averages hold over long periods, but any given decade can disappoint or surprise. Treat these as planning figures, not promises.
• Nominal, not real. $1M in 30 years won't buy what $1M buys today. Inflation erodes it — see how inflation affects your money. You may want to target an inflation-adjusted number.
• Taxes and fees. Investing inside a tax-advantaged account (401(k)/ISA/RRSP/super) and keeping fees low both materially speed up the journey. A 1% annual fee can cost a large slice of the final total.
• Contributions usually rise. The tables assume a flat monthly amount. In reality your income — and ideally your saving — grows over time, which gets you there faster.

How to get there faster

• Capture every employer match first — it's free money that supercharges the early years.
• Automate the contribution so it happens before you can spend it.
• Raise it with every pay rise — direct half of each raise to investing and you'll barely notice.
• Keep costs low with broad, low-fee index funds.

For the maths behind why time matters so much, read compound interest explained. And if some of that money is earmarked for a nearer goal, make sure it's in the right place — see saving vs investing.