Future value, plainly
Future value (FV) answers "what will this be worth later?" It's the mirror image of present value, which asks "what is a future amount worth today?" The core relationship for a lump sum is FV = PV × (1 + rate)periods; add regular contributions and you layer an annuity on top. This calculator handles both at once.
A worked example
$10,000 today at 6% for 15 years grows to about $24,000 — more than doubling with no further deposits. Add $200/month and the future value jumps past $80,000, of which roughly $46,000 is your deposits and $34,000 is pure growth. The longer the horizon, the more the growth portion dominates: that crossover, where interest out-earns your contributions, is the whole point of investing early.
Where you'll use it
- Goal planning: project what a house deposit, education fund, or retirement pot will be worth on a target date.
- Comparing options: FV lets you compare a lump sum today against a stream of future payments on equal footing.
- Reality-checking promises: any "double your money" claim implies a specific rate and time — FV lets you verify whether it's plausible or hype.
One caution: inflation
Future value is a nominal figure. $80,000 in 15 years won't buy what $80,000 buys today. To see the result in today's purchasing power, use a real (inflation-adjusted) rate — subtract expected inflation from your return before entering it, or run the nominal answer through our inflation calculator.