Time Value of Money (TVM)

Finance & Loans

Solve Time Value of Money (TVM) equations for Present Value (PV), Future Value (FV), Periodic Payment (PMT), Interest Rate (I/Y), or Number of Periods (N) for annuities and loans.

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Calculated Result
20,544.64

Future value

Formula: FV = PV(1+r)ⁿ + PMT[((1+r)ⁿ−1)/r]

About this calculator

The Time Value of Money is the foundational principle of corporate finance and investment analysis: a dollar today is worth more than a dollar in the future due to its earning capacity.

This TVM solver lets you specify any four variables among Present Value, Future Value, Periodic Payment, Interest Rate, and Number of Periods to solve for the fifth unknown parameter for both ordinary annuities and annuities due.

How It Works & Formula

FormulaFV = PV(1+r)ⁿ + PMT[((1+r)ⁿ−1)/r]

Solves the standard financial annuity equation: PV(1+r)ᴺ + PMT[(1+r)ᴺ - 1]/r + FV = 0 using exact closed-form algebraic solutions or Newton-Raphson iteration for interest rate.