Future value calculator
Enter a starting amount, a regular payment, the yearly rate and the number of years. Choose how often interest compounds, how often you pay and whether payments come at the start or the end of each period. You get the future value and where it comes from.
Runs in your browser: nothing you enter is sent anywhere.
How to use it
- Enter the starting amount and the regular payment (use 0 for either one if you do not have it).
- Enter the yearly interest rate and the number of years.
- Choose the compounding and payment frequencies and whether payments are at the start or the end of each period.
- Read the future value, the total you paid in and the interest earned.
How it works
The effective rate per payment period is i = (1 + r ÷ m)^(m ÷ p) − 1, where r is the yearly rate, m the compounding periods per year and p the payments per year. With N = years × p payments, the future value is PV × (1 + i)^N + PMT × ((1 + i)^N − 1) ÷ i, times (1 + i) on the payment part for payments at the start of a period.
Worked example
1,000 at 5% for 10 years grows to 1,628.89 with annual compounding and 1,647.01 with monthly compounding. 100 paid at the end of each year for 10 years at 5% grows to 1,257.79; paid at the start it grows to 1,320.68. The default inputs, 10,000 plus 200 a month at 5% compounded monthly for 10 years, give 47,526.55 from 34,000 paid in.
Tips
- More frequent compounding helps, but the step from monthly to daily is small compared with the effect of the rate and the years.
- To see what a goal needs today, use the present value calculator.
These are estimates to help you compare options, not financial advice.
Frequently asked questions
What is the future value formula?
FV = PV × (1 + i)^N + PMT × ((1 + i)^N − 1) ÷ i. Here i is the effective rate for one payment period and N the number of payments. If payments are made at the start of each period, the payment part is multiplied by 1 + i. With a rate of 0% it is simply PV + PMT × N.
How are the compounding and payment frequencies combined?
The yearly rate is divided by the compounding periods, and the result is converted to the rate for one payment period, i = (1 + rate ÷ m)^(m ÷ p) − 1, with m compounding periods and p payments a year. When both are monthly this is just rate ÷ 12.
Payment at the start or the end of the period?
A payment at the start earns interest for one extra period, so the result is larger by a factor of 1 + i on the payment part. Rent and insurance are usually paid at the start; loan payments and most savings plans at the end.
Can I enter a negative payment?
Yes. A negative payment is a withdrawal each period, and the starting amount can be negative too. Results are then the balance after those withdrawals, and may go below zero.
Does it include taxes or inflation?
No. The result is a nominal amount at a constant rate. Taxes, fees and inflation reduce what you can really buy with it.