Money is worth more today than it is in the future due to inflation and potential earnings. This calculator helps you determine the Present Value (PV) of a future amount of money.

1. Enter Details

• Present Date: Today's date (automatically filled).
• Future Date: When you will receive the money.
• Future Value: The amount you expect to receive.
• Rate of Return (%): The interest rate or discount rate you could earn if you had the money today.

2. Calculate

Click the button to see the result.

3. Analyze

• Present Value: This is what that future amount is worth right now.
• Interpretation: If the PV is lower than what you have to invest today to get that future amount, it might not be a good investment.

• Investment Decisions: Helps compare different investment options with different timelines.
• Retirement Planning: Understand the real value of future savings.
• Business Valuation: Assess the value of future cash flows.

The calculator uses the standard formula:

$$PV = \frac{FV}{(1 + r)^n}$$

Where:

• PV = Present Value
• FV = Future Value
• r = Rate of return (per period)
• n = Number of periods (years)

Start planning your financial future with accurate data!