FinanceFormula-based · Runs in your browser

Present Value Calculator

Find the current value of a future amount at a chosen discount rate.

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Inputs

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$
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%
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Result

Updates as valid inputs change.

Calculated locally
Present value
Discount amount
Discount factor

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Calculation steps

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  1. 1

    Formula selected

    The calculator uses the following formula or method.

    PV = FV ÷ (1 + r/m)ᵐᵗ

  2. 2

    Values entered

    Your values are placed into the calculation.

    Enter values to see what is used in this step.

  3. 3

    Result calculated

    The formula or method produces the following result values.

    Results will appear after a successful calculation.

  4. 4

    Answer formatted

    Displayed values are rounded and formatted using each output’s configured precision.

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How it works

Present value discounts a future amount back through the selected number of compounding periods.

Input query strings and outputs

Use an input name in this page’s URL as ?name=value, and join additional inputs with &. Portable shared links may instead use the compact ?ac= state parameter.

Input query strings

4
  • ?futureValue= Future value

    Money · Required · Default: 20,000

  • ?annualRate= Annual discount rate

    Percentage · Required · Default: 6

  • ?years= Years

    Number · Required · Default: 5

  • ?compounding= Compounding periods per year

    Choice · Required · Default: 12 · Accepted values: 1, 4, 12, 365

Outputs

3
  • presentValue Present value

    Currency · Primary output

  • discountAmount Discount amount

    Currency

  • discountFactor Discount factor

    Number

Limits

A single constant discount rate is used for the full period.

Sources
  • No external reference is listed for this calculator. Its formula and variable definitions are shown above.
Limitations
  • Estimates use the rates, timing, and assumptions entered. Fees, taxes, lender rules, and future changes are included only where explicitly shown.