Future value after 4 years
$17,510.44 Accumulated interest
$2,710.44
Present value$10,000.00
$4,800.00 Time-weighted return
22.09% The TWR figure represents the cumulative rate of return for your investment adjusted for the effects of your regular deposits and withdrawals.
Interest rate:5% yearly
Effective rate:5.12%
Deposits:$100.00 monthly (at end)
Compounding:Monthly
| Month | Deposits | Interest | Total Deposits | Accrued Interest | Balance |
|---|---|---|---|---|---|
| 0 | £10,000.00 | – | £10,000.00 | – | £10,000.00 |
| 1 | £100.00 | £41.67 | £10,100.00 | £41.67 | £10,141.67 |
| 2 | £100.00 | £42.26 | £10,200.00 | £83.92 | £10,283.92 |
| 3 | £100.00 | £42.85 | £10,300.00 | £126.77 | £10,426.77 |
| 4 | £100.00 | £43.44 | £10,400.00 | £170.22 | £10,570.22 |
| 5 | £100.00 | £44.04 | £10,500.00 | £214.26 | £10,714.26 |
| 6 | £100.00 | £44.64 | £10,600.00 | £258.90 | £10,858.90 |
| 7 | £100.00 | £45.25 | £10,700.00 | £304.15 | £11,004.15 |
| 8 | £100.00 | £45.85 | £10,800.00 | £350.00 | £11,150.00 |
| 9 | £100.00 | £46.46 | £10,900.00 | £396.46 | £11,296.46 |
| 10 | £100.00 | £47.07 | £11,000.00 | £443.53 | £11,443.53 |
| 11 | £100.00 | £47.68 | £11,100.00 | £491.21 | £11,591.21 |
| 12 | £100.00 | £48.30 | £11,200.00 | £539.50 | £11,739.50 |
| 13 | £100.00 | £48.91 | £11,300.00 | £588.42 | £11,888.42 |
| 14 | £100.00 | £49.54 | £11,400.00 | £637.95 | £12,037.95 |
| 15 | £100.00 | £50.16 | £11,500.00 | £688.11 | £12,188.11 |
| 16 | £100.00 | £50.78 | £11,600.00 | £738.90 | £12,338.90 |
| 17 | £100.00 | £51.41 | £11,700.00 | £790.31 | £12,490.31 |
| 18 | £100.00 | £52.04 | £11,800.00 | £842.35 | £12,642.35 |
| 19 | £100.00 | £52.68 | £11,900.00 | £895.03 | £12,795.03 |
| 20 | £100.00 | £53.31 | £12,000.00 | £948.34 | £12,948.34 |
| 21 | £100.00 | £53.95 | £12,100.00 | £1,002.29 | £13,102.29 |
| 22 | £100.00 | £54.59 | £12,200.00 | £1,056.88 | £13,256.88 |
| 23 | £100.00 | £55.24 | £12,300.00 | £1,112.12 | £13,412.12 |
| 24 | £100.00 | £55.88 | £12,400.00 | £1,168.01 | £13,568.01 |
| 25 | £100.00 | £56.53 | £12,500.00 | £1,224.54 | £13,724.54 |
| 26 | £100.00 | £57.19 | £12,600.00 | £1,281.72 | £13,881.72 |
| 27 | £100.00 | £57.84 | £12,700.00 | £1,339.56 | £14,039.56 |
| 28 | £100.00 | £58.50 | £12,800.00 | £1,398.06 | £14,198.06 |
| 29 | £100.00 | £59.16 | £12,900.00 | £1,457.22 | £14,357.22 |
| 30 | £100.00 | £59.82 | £13,000.00 | £1,517.04 | £14,517.04 |
| 31 | £100.00 | £60.49 | £13,100.00 | £1,577.53 | £14,677.53 |
| 32 | £100.00 | £61.16 | £13,200.00 | £1,638.69 | £14,838.69 |
| 33 | £100.00 | £61.83 | £13,300.00 | £1,700.52 | £15,000.52 |
| 34 | £100.00 | £62.50 | £13,400.00 | £1,763.02 | £15,163.02 |
| 35 | £100.00 | £63.18 | £13,500.00 | £1,826.20 | £15,326.20 |
| 36 | £100.00 | £63.86 | £13,600.00 | £1,890.06 | £15,490.06 |
| 37 | £100.00 | £64.54 | £13,700.00 | £1,954.60 | £15,654.60 |
| 38 | £100.00 | £65.23 | £13,800.00 | £2,019.83 | £15,819.83 |
| 39 | £100.00 | £65.92 | £13,900.00 | £2,085.74 | £15,985.74 |
| 40 | £100.00 | £66.61 | £14,000.00 | £2,152.35 | £16,152.35 |
| 41 | £100.00 | £67.30 | £14,100.00 | £2,219.65 | £16,319.65 |
| 42 | £100.00 | £68.00 | £14,200.00 | £2,287.65 | £16,487.65 |
| 43 | £100.00 | £68.70 | £14,300.00 | £2,356.35 | £16,656.35 |
| 44 | £100.00 | £69.40 | £14,400.00 | £2,425.75 | £16,825.75 |
| 45 | £100.00 | £70.11 | £14,500.00 | £2,495.86 | £16,995.86 |
| 46 | £100.00 | £70.82 | £14,600.00 | £2,566.67 | £17,166.67 |
| 47 | £100.00 | £71.53 | £14,700.00 | £2,638.20 | £17,338.20 |
| 48 | £100.00 | £72.24 | £14,800.00 | £2,710.44 | £17,510.44 |
| Year | Deposits | Interest | Total Deposits | Accrued Interest | Balance |
|---|---|---|---|---|---|
| 0 | £10,000.00 | – | £10,000.00 | – | £10,000.00 |
| 1 | £1,200.00 | £539.50 | £11,200.00 | £539.50 | £11,739.50 |
| 2 | £1,200.00 | £628.50 | £12,400.00 | £1,168.01 | £13,568.01 |
| 3 | £1,200.00 | £722.05 | £13,600.00 | £1,890.06 | £15,490.06 |
| 4 | £1,200.00 | £820.39 | £14,800.00 | £2,710.44 | £17,510.44 |
You can use our future value calculator to estimate how much a series of savings or investment contributions could grow over time. Continue scrolling for instructions on using our calculator, and an explanation of the formula we use to calculate FV.
Disclaimer: Whilst every effort has been made in building our calculator tools, we are not to be held liable for any damages or monetary losses arising out of or in connection with their use. Full disclaimer.
As with all our financial calculator tools, we've designed this future value calculator with ease of use and flexibility in mind. Let’s walk through how it works.
How to use our future value calculator
Our calculator uses the following inputs to calculate future value:
- Present value: the current value of your investment.
- Interest rate: the rate of interest you're earning, and whether it's a daily, monthly, or annual rate.
- Compound frequency: how often your interest is compounded (default is monthly).
- Time periods: the length of investment in years and months.
- Periodic contributions: any regular deposits or withdrawals you wish to include (this is optional).
Should you wish, you can include both deposits and withdrawals within your calculation, and you can adjust for inflation.
How to calculate the future value of an investment
Our calculator uses a variation of the future value of a series formula, together with the compound interest formula, to work out future investment values based on periodic contributions. Let's take a closer look at the formula.
Future value of a series formula
We've listed two variations of the formula for you to use, depending on when you make your deposits.
For deposits made at the END of each period (ordinary annuity):
For deposits made at the BEGINNING of each period (annuity due):
Where:
- A = future value of the investment (including interest)
- PMT = the payment amount made each period
- r = the annual interest rate (decimal)
- n = the number of compounding periods per year (e.g. 12 for monthly)
- t = the number of years the money is invested for
- ^ means 'to the power of'
These formulas assume that each payment is equal in amount and that interest is compounded regularly throughout the term. The ordinary annuity version (first formula) is the most commonly used, where payments are made at the end of each period.
Let's walk through a couple of examples, so you can see the formula in action.
Future value formula example 1
Lily makes deposits of $100 per month into her investment, at the end of every month. She receives an annual interest rate of 5% and her interest is compounded monthly (so, 12 compounds per period). The value of the investment after 10 years can be calculated as follows...
PMT = 100; r = 5/100 = 0.05 (decimal); n = 12; t = 10.
If we plug those figures into formula 1, we get:
After 10 years, Lily's investment figure will stand at $15,528.23.
Future value formula example 2
Tom decides to invest $10,000 per year (deposited at the end of each year) into a savings account that gives him an interest rate of 6%, compounded annually. The value of his investment after 5 years can be calculated as follows...
PMT = 10000; r = 6/100 = 0.06 (decimal); n = 1; t = 5.
Tom's investment balance after 5 years equates to $56,370.93, comprising $50,000 in contributions and $6,370.93 in interest. If you want to have a play around with these figures yourself, you can use our Compound Interest Calculator.
Seeking professional advice
Let's point out the obvious. Everyone's financial situation is different. So, it goes without saying that while our calculator is a good starting point for getting a visual idea of the future value of your investment, it only gives a demonstration of what might be possible. We therefore always recommend that you speak to a qualified financial advisor if you're thinking about long-term planning.
Working with an independent advisor allows you to discuss and develop strategies that fit your personal circumstances and aspirations. If they're good, they'll suggest regular reviews, so you can work together to ensure adjustments are made for any changes in your circumstances.
If you’re looking to find a trusted advisor, it's worth starting with the Financial Planning Association (U.S.) or Unbiased (U.K.).
Final note: The information on this page is intended for general guidance only and does not constitute financial advice.