What's the difference between $1,000 today and $1,000 in ten years?

A lot.

Money you have right now is more powerful than money you'll get in the future. Why? Because the money you have today can be put to work. It can be invested and start earning interest, growing into a larger amount over time.

This simple but powerful idea is called the Time Value of Money. The Future Value is the calculator that shows you exactly what your money today could be worth in the future.

What Is Future Value (FV)?

Future Value (FV) is the estimated value of a specific asset—like your $1,000 in cash—at a specific date in the future.

It answers the question: "If I invest this single lump sum of money today, what will it grow to in 5, 10, or 20 years?"

To figure this out, you just need three pieces of information:

  1. Your Starting Amount (Present Value): The lump sum of money you are investing today.
  2. The Interest Rate: The annual percentage (APY or rate of return) you expect to earn on your money.
  3. Time: The number of years you plan to let the money grow.

These three things work together. The higher the interest rate or the longer the time, the bigger your future value will be.

Try the Calculator

See for yourself. Put in your starting amount and see what it could become.

Future Value Calculator

Your money's Future Value will be:

$...

What is your starting amount? (Present Value): [ $ ] What is your expected annual interest rate? (%): [ % ] How many years will you let it grow? (Time): [ ] (Calculate) Your money's Future Value will be: [ $_____ ]

Example: The Power of Starting Now

Let's say you have $5,000 today that you can invest. You decide to put it in an S&P 500 index fund, and you hope to get an average return of 9% per year. You plan to leave it alone for 20 years.

  • Starting Amount: $5,000
  • Interest Rate: 9%
  • Time: 20 years

Using the calculator, you would see that your Future Value is $28,022.08.

Your initial $5,000, without you adding another dime, could grow into over $28,000. That's the power of compound interest and time.

Why Does This Matter for Beginners?

This isn't just a math exercise. The Future Value calculator is a powerful tool for planning your life.

  • It Motivates You to Start: It makes the reward for investing today real and visible.
  • It Sets Realistic Goals: You can see what's actually possible. Want to have $50,000 for a down payment in 10 years? This calculator can help you figure out how much you'd need to start with.
  • It Shows the Cost of Waiting: If you wait just one year to invest that $5,000, you'd end up with over $2,500 less after 20 years. Time is your single greatest asset as an investor.