Finance Calculator (TVM)
Solve any time-value-of-money problem by entering four of the five standard variables: number of periods (N), interest rate per period (I/Y), present value (PV), payment (PMT) and future value (FV).
How to use the Finance Calculator (TVM)
- Enter your inputs into the Finance Calculator (TVM) above.
- Results update instantly as you type — no submit button needed.
- Adjust any value to see how the result changes in real time.
The TVM equation
PV(1 + r)^n + PMT · [((1 + r)^n − 1) / r] + FV = 0
This is the universal TVM identity. By convention, cash inflows are positive and outflows are negative. Specify any four variables and the calculator solves for the fifth.
Worked example
How much do you need today to receive $1,000/month for 25 years at 5% annual return? Set N = 300, I/Y = 5%/12, PMT = 1,000, FV = 0 and solve for PV. Answer: about $171,060 needed up front.
Frequently asked questions
What is the sign convention?
Money received is positive; money paid is negative. A $100,000 loan you receive is +100,000 as PV; the $1,000 monthly payments you make are negative PMT.
What's the difference between annuity-due and ordinary annuity?
Ordinary annuities have payments at the end of each period. Annuity-due has payments at the start (like rent). Annuity-due values are slightly higher because each payment earns one extra period of interest.
Which problems can this solve?
Loan payment, loan term, present value, future value of annuity, bond pricing, retirement income needs, lease payments — anything that boils down to a series of cash flows at a fixed rate.