Use this free Time Value of Money calculator to solve for Present Value, Future Value, Payment, Interest Rate or Time.
How to use this calculator
Enter values in four of the five main TVM fields and leave
the field you want to calculate blank.
If a known value is zero, enter 0. Do not leave it blank.
If a known value is zero, enter 0. Do not leave it blank.
TVM Information
The value of the money today.
The value of the money at the end of the period.
The recurring payment made each period.
Enter 0 if there are no recurring payments.
Enter 5 for an annual rate of 5%.
The total length of the calculation.
How often interest compounds and payments occur.
Most loans and ordinary savings calculations use
payments at the end of each period.
Important: Positive and negative numbers matter.
TVM calculations use a cash-flow convention:
Money you receive = positive
Money you pay or invest = negative
For example, if you invest $10,000 today and contribute $500 each month:
Present Value = -10000
Payment = -500
The resulting Future Value would normally be positive.
TVM calculations use a cash-flow convention:
Money you receive = positive
Money you pay or invest = negative
For example, if you invest $10,000 today and contribute $500 each month:
Present Value = -10000
Payment = -500
The resulting Future Value would normally be positive.
Time Value of Money Calculation
Calculation Summary
Calculation complete. Click Reset Calculator to make
changes or perform another calculation.
Disclaimer:
This calculator is provided by Bookkeeping Barn for general
informational and educational purposes only.
Results are estimates based entirely on the information entered by the user and the mathematical assumptions used by this calculator. Bookkeeping Barn does not verify the completeness, accuracy or suitability of the information entered.
This tool is not a substitute for professional accounting, bookkeeping, tax, investment, financial or legal advice. Actual investment returns, borrowing costs, lender calculations and financial results may differ. Bookkeeping Barn assumes no responsibility or liability for decisions, losses or consequences arising from use of this calculator.
Results are estimates based entirely on the information entered by the user and the mathematical assumptions used by this calculator. Bookkeeping Barn does not verify the completeness, accuracy or suitability of the information entered.
This tool is not a substitute for professional accounting, bookkeeping, tax, investment, financial or legal advice. Actual investment returns, borrowing costs, lender calculations and financial results may differ. Bookkeeping Barn assumes no responsibility or liability for decisions, losses or consequences arising from use of this calculator.
Use your browser's print window to print the calculation or choose Save as PDF.
What Do the TVM Fields Mean?
Present Value (PV)
Present Value is what an amount of money is worth today.
Future Value (FV)
Future Value is what the money will be worth at a future date
after accounting for interest, investment growth and recurring
payments.
Payment (PMT)
Payment is the recurring amount paid or received during each
period. If there are no recurring payments, enter 0.
Annual Interest Rate
This is the annual nominal interest or discount rate used in
the calculation. Enter 5 for 5%.
Number of Years
The total length of time covered by the calculation.
Payments / Compounding Per Year
The number of calculation periods per year.
Monthly = 12, quarterly = 4 and annually = 1.
Payment Timing
An ordinary annuity assumes payments are made at the end
of each period.
An annuity due assumes payments are made at the beginning
of each period.
What Is the Time Value of Money?
The Time Value of Money is the financial principle that money available today is generally worth more than the same amount received in the future because money available today can be invested or otherwise used to earn a return.
TVM calculations are commonly used for loans, investments, retirement savings, business decisions and financing.