Simply enter the parameters needed to calculate the future value (FV) from the present value (PV) investment.
No personal information is saved within these pages - closing the webpage or refreshing will clear inputs.
The future value compound interest formula is as follows:
A = P * ( 1 + r/n )nt
A = Final amount
P = initial principal amount
r = interest rate (in decimal)
n = compounding intervals within a time period
t = number of time periods elapsed
This formula allows the user to quickly arrive at the final accrued amount, but through programmatic
iterations, this mini-application can also break down the steps of every compounding interval, then displayed on
a line graph below.
Rules for parameters:
- Must select a compounding interval
- Present Value must have input, and >= 0
- Interest rate must have input, and >= 0
- Timeframe: You must select the proper compounding period, either [By Years] or [By Date Interval]
- If [By Years], must be a
natural number
- If [By Date Interval] and compounding period is Monthly, values must not be the same month and only whole months within the interval are taken into calculation
(Example: between Jan 1, 2022 to Feb 28, 2022 will be invalid, as the start date is already within January (30 / 31 days left), and the
end date is still within February (28 / 28, but the last day has not ended yet for February to be 'a whole month' )
- Contribution per Year will default to $0.00 if left blank
- Contributions are divided and added prior to each compounding interval
(as with time-value of money, deposits should be added sooner rather than later)