Finance Calculator

This calculator helps you solve for any variable in the time value of money equation. Calculate the future value (FV), periodic payment (PMT), interest rate (I/Y), number of periods (N), or present value (PV) of your investment or loan.

Time Value of Money Calculator

Total number of payment periods.

%

Annual interest rate (e.g., enter 5 for 5%).

$

The current value of your investment or loan. Positive value indicates money you have or receive now.

$

Regular payment amount. Negative values represent payments you make; positive values represent payments you receive.

$

The value of your investment at the end of the period. Negative value indicates money you receive.

How often interest is compounded per year.

How the Finance Calculator Works

This calculator is based on the time value of money concept, which recognizes that a dollar today is worth more than a dollar in the future because of its earning potential. It solves for any of the five key variables in financial calculations: present value (PV), future value (FV), periodic payment (PMT), interest rate (I/Y), or number of periods (N).

Whether you're calculating loan payments, investment returns, or retirement savings, this calculator provides accurate results for various financial scenarios. It supports different compounding frequencies to match real-world financial products.

Financial Formulas Explained

Future Value (FV)

The future value formula calculates what your investment will be worth after a certain period, given a present value, regular payments, and an interest rate.

$$FV = PV(1 + r)^n + PMT × [(1 + r)^n - 1] / r$$

Present Value (PV)

The present value formula determines the current value of a future sum, discounted at a specified rate of return.

$$PV = FV / (1 + r)^n + PMT × [1 - (1 + r)^(-n)] / r$$

Payment (PMT)

The payment formula calculates the periodic payment required to reach a future value or pay off a present value over a specified number of periods at a given interest rate.

$$PMT = [FV - PV(1 + r)^n] / [(1 + r)^n - 1] / r$$

Interest Rate (I/Y)

The interest rate formula is used to find the rate that would make the present value grow to the future value in the given number of periods.

Solved numerically using iterative methods

Number of Periods (N)

The number of periods formula calculates how long it will take to reach a future value, given a present value, payment amount, and interest rate.

Solved numerically based on PV, FV, PMT, and r

Common Use Cases

  • Investment Planning: Calculate how much your investments will grow over time or how much you need to invest to reach specific financial goals.
  • Loan Analysis: Determine loan payments, total interest costs, or how long it will take to pay off a loan.
  • Mortgage Calculations: Calculate mortgage payments, compare different loan terms, or determine how extra payments affect your loan term.
  • Retirement Planning: Estimate how much you need to save regularly to build your retirement nest egg or how long your savings will last.
  • Education Savings: Plan for education expenses by calculating how much to save each month to fund future education costs.

How to Use This Calculator

  1. Select the tab for the value you want to calculate (FV, PMT, I/Y, N, or PV).
  2. Enter the known values in the corresponding fields.
  3. Choose the appropriate compounding frequency that matches your financial scenario.
  4. Click the Calculate button to see the results, including a detailed amortization schedule and visual chart.

Note: For loans and payments you make, use negative values for PMT. For investments or money you receive, use positive values for FV.