Time Value Of Money Calculator

Every discounted cash flow, every bond price, every retirement projection on this entire site ultimately traces back to this one equation.

Reading This Tool

How To Use This Calculator

Enter a present value, a periodic payment, an interest rate per period, and the number of periods.

This combines the future value of a lump sum with the future value of a stream of equal payments, the same two building blocks behind a financial calculator's TVM keys. Set payment to zero for a pure lump sum, or present value to zero for a pure annuity.

Your Inputs

Present Value (Lump Sum Today) $50,000

Payment Per Period $10,000

Interest Rate Per Period 6.0%

Number Of Periods 10

A "period" can be a year, a month, or a quarter, whatever your rate is expressed as. Just be sure the rate and the number of periods use the same unit of time.

Result

Future Value

From The Lump Sum

From The Payment Stream

Present Value Of The Payment Stream Alone

Future Value: Lump Sum vs. Payment Stream

Assumes payments occur at the end of each period (an ordinary annuity), the standard convention for loan payments and most savings plans. Payments at the start of each period, an annuity due, would produce a slightly higher future value.

Applying this to a real capital budgeting decision?

See The NPV & IRR Tool →