Future Value Calculator
The future value (FV) calculator determines how much a sum of money invested today will be worth at a future date, accounting for compound interest and optional periodic contributions. It applies the time value of money principle: a dollar today is worth more than a dollar tomorrow because it can be invested and earn returns over time.
You can model both a one-time lump-sum investment and regular contributions (monthly or annual) at any compounding frequency — annually, semi-annually, quarterly, monthly, or daily. The results show a clear breakdown of your initial principal, total contributions, and the interest earned, so you can visualize exactly how compounding accelerates your wealth over time.
How it works
FV (lump sum) = PV × (1 + r/n)^(n×t), where r is the annual rate, n is compounding periods per year, and t is years. FV (annuity) = PMT × ((1 + r_p)^N − 1) / r_p, where r_p is the effective rate per contribution period and N is the total number of contributions. The total FV is the sum of both.
Use cases
- Projecting the future value of a retirement savings account
- Estimating how a college fund will grow with monthly deposits
- Comparing investment scenarios with different compounding frequencies
- Evaluating the long-term effect of starting to save early vs. late
- Planning lump-sum investments and deciding between reinvestment strategies