About This Calculator
Present value and future value are two sides of the same equation — one converts a value today into what it will grow to by a future date, the other discounts a future value back into what it's actually worth right now. Give this tool a known amount, a rate, a time period, and a compounding frequency, and it solves for whichever value you're missing, showing both sides plus the total growth or discount involved. It also shows how sensitive the result is to the rate you assume, since that single number can change the outcome substantially over longer time periods. Everything is calculated locally in your browser.
Why Time Value of Money Matters
Future Value (FV)PV × (1 + r/n)^(n × years) — what an amount today grows to by a future date, at a given rate, compounded n times per year.
Present Value (PV)FV ÷ (1 + r/n)^(n × years) — the reverse: what a future amount is actually worth today, once you "discount" it back by the same rate.
Comparing money across timeYou can't directly compare $10,000 today to $12,000 in five years without a rate to translate between them — time value of money is the framework that makes that comparison possible.
Where this shows upValuing a future payment (like a lawsuit settlement or a lottery lump sum vs. annuity), comparing investment options, and virtually every other calculator on this site are built from this same underlying idea.
Send Feedback
For any questions, bug reports, or feature requests, please drop your comments below.