Use this free online present value and future value calculator to see how money grows over time with compound interest, or to find out what a future amount is worth in today's terms. Choose your calculation mode, enter the known value, annual rate, and time period, to get an instant, accurate result.
How to Use the Present & Future Value Calculator
Select "Calculate Future Value" or "Calculate Present Value" from the "Calculation Mode" dropdown.
Enter the "Present Value (₹)" if calculating future value, or the "Future Value (₹)" if calculating present value.
Enter the "Annual Rate (%)" of return or interest.
Enter the "Time (years)" over which the amount grows or discounts.
Click "Calculate" to see the computed value.
The Idea Behind Present and Future Value
A rupee today is worth more than a rupee received later, because today's rupee can be invested to earn a return. Future value answers "what will this sum grow to?", and present value answers "what is that later sum worth now?". Both use the same growth factor, (1 + rate ÷ 100) raised to the number of years: future value multiplies by it, present value divides by it.
The calculator compounds once a year and handles a single lump sum. Time can be a decimal, so 6 months is 0.5 years. For regular monthly investments use the SIP Calculator, and for bank deposits that compound quarterly use the Fixed Deposit Calculator.
Worked Examples
Future value: ₹5,00,000 invested for 15 years at 10% a year grows to 5,00,000 × 1.10^15 = ₹20,88,624.08, a little over four times the original amount.
Present value for a goal: you expect to need ₹25,00,000 for a child's higher education in 12 years and think you can earn 9% a year. The amount to set aside today is 25,00,000 ÷ 1.09^12 = ₹8,88,836.81.
Inflation: use the inflation rate as the annual rate. Expenses of ₹1,00,000 today become ₹3,20,713.55 in 20 years at 6% inflation, and ₹1 crore received 25 years from now has the buying power of about ₹23.3 lakh today.
Growth Factors at a Glance
Multiply a present amount by the factor to get its future value, or divide a future amount by it to get its present value.
Annual rate
5 years
10 years
20 years
6%
1.34
1.79
3.21
8%
1.47
2.16
4.66
10%
1.61
2.59
6.73
12%
1.76
3.11
9.65
Choosing the Rate
For a fixed-return product, use its stated annual yield. For equity or other market-linked investments, use a conservative long-term assumption rather than recent returns, since returns are not guaranteed.
Small changes in the rate matter a lot over long periods: over 20 years, 12% grows money more than twice as much as 8% does.
To compare an offer of money now versus later, discount the later amount at the return you could otherwise earn. If the present value is higher than the amount offered today, waiting is the better deal, setting aside risk.
Frequently Asked Questions
In Future Value mode, it applies the compound interest formula FV = PV × (1 + r/100)^t, where PV is the present value, r is the annual rate, and t is the time in years.
In Present Value mode, it discounts the future amount back to today using PV = FV ÷ (1 + r/100)^t, the reverse of the future value formula.
Yes, it is useful for estimating how a lump-sum investment will grow at a given annual rate, or for determining how much you need to invest today to reach a target future amount.
Enter the expected inflation rate as the annual rate. Future Value mode then shows what today's cost will become, and Present Value mode shows what a future amount is worth in today's money. To plan a goal, first inflate today's cost to the goal date, then discount that figure at your expected investment return to find what to invest now.
This calculator compounds once a year. Most bank deposits compound quarterly, which gives slightly more at the same stated rate, and taxes or fees reduce the amount you actually receive. Use the Fixed Deposit Calculator to model quarterly or monthly compounding.