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Future Value Calculator
FUTURE VALUE DEFINITION:
The Future Value Calculator is a financial calculator that will calculate the future value of any lump sump if you simply enter in the present value, interest rate per period, and number of periods. What future value really means essentially is how much a certain amount of money now will be worth in the future assuming a certain interest rate (rate of return). The underlying principle behind all future value calculations is that the value of money changes over time (or more accurately the purchasing power of money changes over time) because of inflation (money becomes less valuable over time) and interest/rate of return (money increases over time as it accumulates interest/investment returns.
FUTURE VALUE FORMULA:
Future Value = PV * (1 + Interest Rate)^Number of Periods