As Tuesday marks the official end of the Christmas season, it is time to start thinking about those new year resolutions in earnest.

Savings are at the heart of many people’s pledges – whether it’s building up an emergency fund to cover disasters, or putting money aside for a short- or long-term goal. Cutting down on unnecessary spending is another popular promise.

Use our calculator to see how quickly diverting money into a savings account can help you build up a nice nest egg.

We have assumed an interest rate of 4% paid yearly.

The good news is that one you start saving your money does some of the work for you, as you begin to earn interest on the interest you have earned as well as your original payments. This effect, called compound interest, means you could reach your goals faster than you expected.