When you’re planning a big expense such as a dream vacation, a down payment on a flat, or an upcoming medical expense, you need to know how much to put in your sinking fund.
The actual amount will depend on your end goal and when you want to do it.
Here are 3 simple steps to help you determine how much to put in a sinking fund.  First, determine your savings goal by being as specific as possible. Then decide on a timeline and finally divide your savings goal by the number of months.
Follow these steps to calculate how much to put in a sinking fund each month and reach your financial goals. It’s important to watch your progress and adjust your budget as needed to make sure you are on track to reach your goal.