Present Value Calculator
Calculate the present value of a future lump sum using a discount rate and number of periods.
Present value
$6,139.13
Discount factor
0.613913
Enter a future amount, a discount (interest) rate, and the number of periods to find out what that money is worth today. This is the reverse of compound interest and runs entirely client-side.
How to use
- Enter the future value amount and select a currency.
- Enter the discount rate per period as a percentage.
- Enter the number of periods to see the present value.
Frequently asked questions
- What formula is used?
- PV = FV / (1 + r)^n, where r is the discount rate per period and n is the number of periods.
- What discount rate should I use?
- Use the rate of return you could earn elsewhere, or an interest/inflation rate relevant to your scenario.
- What is the discount factor?
- It's 1 / (1 + r)^n — the multiplier applied to the future value to bring it back to today's value.