Future Value Calculator
Project the future value of any present investment using compound interest over your chosen time horizon.
Results
The Future Value Calculator projects the total accumulated worth of a present-day deposit at a future date. The output separates the original present value from the interest gained, showing the nominal growth over the specified period.
Future Value Explained
Future value quantifies the growth potential of capital by projecting today's deposit forward in time at a specified interest rate. The concept is the foundation of the time value of money principle in finance.
The Future Value Formula
The future value formula is FV = PV × (1 + r/n)nt, where FV is the future value, PV is the present value (initial deposit), r is the annual interest rate, n is the compounding frequency, and t is the time in years. A $20,000 present value at 4.50% APR compounded monthly for 5 years produces a future value of $24,939.90.
Time Value of Money
The time value of money states that a dollar received today is worth more than a dollar received in the future, because today's dollar can be invested to earn interest. A $10,000 deposit earning 5.00% APY for 10 years grows to $16,470.09. The $6,470.09 difference represents the time value — the premium earned for committing capital over 10 years.
Present Value vs. Future Value
Present value (PV) is the current worth of a future sum discounted at a specified rate. Future value (FV) is the projected worth of a current sum grown at a specified rate. PV and FV are inverse calculations. PV = FV / (1 + r/n)nt converts future dollars to today's dollars. FV = PV × (1 + r/n)nt converts today's dollars to future dollars.
Present → Future Value Converter
Enter a present value and rate to project the future value at milestone years. See how your deposit grows across 5, 10, 15, and 20-year horizons.
Multi-Horizon Projection
Inflation-Adjusted Future Value
The inflation-adjusted (real) future value accounts for the erosion of purchasing power over time. A nominal future value of $27,126 after 20 years at 5.00% becomes approximately $16,379 in today's dollars when adjusted for 2.5% annual inflation. The real rate of return (5.00% − 2.50% = 2.50%) determines the true growth in purchasing power.
Calculate Future Value
Enter your present value, rate, and term above to project the future worth of your deposit at maturity.
Calculate FVFAQs
What is future value?
Future value is the projected worth of an investment at a specific date in the future, calculated by applying compound interest growth to the present value.
What is the future value formula?
The future value formula is FV = PV × (1 + r/n)nt. FV is the future value, PV is the present value, r is the annual rate, n is compounding frequency, and t is time in years.
How does inflation affect future value?
Inflation reduces the real purchasing power of the future value. The nominal FV grows at the stated rate, but the real FV adjusts downward by the annual inflation rate.
What is the time value of money?
The time value of money states that a dollar today is worth more than a dollar in the future because today's dollar can earn interest. This principle underlies all future value calculations.
Can I calculate future value with regular contributions?
Yes, future value with regular contributions uses the annuity formula FV = PMT × [((1 + r/n)nt − 1) / (r/n)]. This calculates the accumulated value of periodic deposits plus compound interest.