Back to All Converters

TVM Finance Calculator

Solve for any Time Value of Money variable. Leave the field you want to calculate blank or click its button.

Note: Cash outflows (like payments or initial investments) should be negative numbers. Cash inflows (like loan amounts received) should be positive.

The Universal Tool: A Guide to the TVM Finance Calculator

The Time Value of Money (TVM) is the foundational concept of finance, built on the principle that a sum of money today is worth more than the same sum in the future. This is because money can be invested and earn interest, giving it the potential to grow over time. This universal finance calculator is a powerful tool designed to solve for any of the core variables in a TVM problem, making it an essential resource for students, investors, and financial planners.

Whether you're planning a loan, saving for retirement, or analyzing an investment, the same five variables are always at play: Present Value (PV), Future Value (FV), Payment (PMT), Interest Rate (Rate), and the Number of Periods (N). This calculator allows you to input any four of these variables to solve for the fifth, unknown variable. This flexibility makes it a one-stop-shop for answering a wide range of financial questions.

Understanding the Five TVM Variables

  • Present Value (PV): The value of a sum of money today. It's your starting amount, like your initial investment or the principal of a loan you are taking out.
  • Future Value (FV): The value of an asset or cash at a specified date in the future. It's the target amount you want to reach, or the total amount you will have paid back on a loan.
  • Payment (PMT): The amount of a regular, recurring payment. This could be a monthly contribution to a savings plan or a monthly loan payment.
  • Number of Periods (N): The total number of payments or compounding periods over the life of the investment or loan (e.g., for a 10-year loan with monthly payments, N = 120).
  • Interest Rate (Rate): The periodic interest rate, which is the growth rate of your money per period.

How to Use This Versatile Calculator

The power of this tool lies in its flexibility. By selecting which variable you want to solve for, you can answer different types of questions:

  • Solving for FV: "If I start with $10,000 and invest $500 a month for 10 years at a 7% return, how much will I have?"
  • Solving for PV: "How much money do I need to invest today to have $1 million in 30 years, assuming a 7% return?"
  • Solving for PMT: "To pay off a $30,000 car loan over 5 years at a 6% interest rate, what will my monthly payment be?"
  • Solving for N: "If I have a $10,000 credit card debt and can afford to pay $300 a month at an 18% APR, how long will it take me to pay it off?"
  • Solving for Rate: "I invested $5,000 and it grew to $20,000 over 10 years. What was my annual rate of return?"

By allowing you to solve for any piece of the financial puzzle, this calculator empowers you to make smarter, more informed decisions about your money.