Present Value / Future Value Calculator
Initial lump sum amount
Leave blank if no regular payments
Time Value of Money Formulas
Future Value: FV = PV(1 + r)^n
Present Value: PV = FV / (1 + r)^n
FV of Annuity: PMT × [((1 + r)^n - 1) / r]
PV of Annuity: PMT × [(1 - (1 + r)^-n) / r]
Where: r = rate per period, n = total periods
About This Calculator
Present Value / Future Value Calculator is designed to reduce manual errors and give repeatable outputs when you need quick, reliable answers.
Translate money across time horizons by converting present value to future value (and reverse) under chosen discount rates.
If your workflow expands, pair this calculator with Compound Interest Calculator and NPV-IRR Calculator to cross-check assumptions and build a stronger analysis chain.
Formula
Future Value = Present Value * (1 + r)^n; Present Value = Future Value / (1 + r)^n
Example Calculation
The worked example below demonstrates how the input fields translate into the final output. Use it as a quick validation pass before entering your own numbers.
- presentValue: 5000
- annualRatePercent: 6
- years: 10
Explanation of Results
Result Interpretation
At 6% annual growth over ten years, today's $5,000 compounds to roughly $8,954.
FAQ
When is present value most useful?
Present value is essential when comparing future cash flows against current alternatives or investment hurdles.
Should rate include inflation?
Use nominal rates for nominal cash-flow planning and real rates for inflation-adjusted purchasing-power analysis.
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See Also
Other calculators in Financial Mathematics