What is the future value formula?

FV = PV × (1 + r)n. Multiply the present value by one plus the rate per period, raised to the number of periods.

What is the difference between future value and compound interest?

They are the same calculation. Future value is the final balance; compound interest is the part of that balance that is interest, FV − PV.

Does the formula work for regular deposits?

No, it handles a single lump sum. For a series of equal deposits use the future value of an annuity formula.

Can the rate be negative?

Yes. A negative rate (for example, loss of value) makes the growth factor less than 1, so the future value is below the present value.

Future Value Formula and Calculator

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Future Value Calculator

The future value formula tells you what a single amount invested today will be worth after n periods of compound interest. Each period the balance is multiplied by (1 + r), so after n periods the original amount has been multiplied by (1 + r)ⁿ. That multiplier is called the growth factor or compound factor, and the calculator prints it so you can reuse it.

Formula

FV = PV × (1 + r)ⁿ

Where

FV: future value after n periods
PV: present value: the amount invested today
r: interest rate per period, as a decimal
n: number of compounding periods

Calculator

Present value (PV)

Rate per period (r) (%)

For monthly periods divide the annual rate by 12.

Number of periods (n)

Years × periods per year.

Result and step-by-step solution

Future value

15,938.48

10,000.00 grows to 15,938.48 after 8 periods at 6% per period.

Convert the rate to a decimal
r = 6% = 0.06
Growth factor
(1 + r)ⁿ = (1 + 0.06)⁸ = 1.593848
Multiply
FV = 10,000.00 × 1.593848 = 15,938.48
Interest earned
FV − PV = 15,938.48 − 10,000.00 = 5,938.48

How to use the formula

This page uses the rate per period and the number of periods, which is how the formula appears in finance textbooks. If your bank quotes an annual rate compounded monthly, convert first (annual rate ÷ 12, years × 12), or use the compound interest formula page, which does the conversion for you.

The default example invests 10,000 at 6% per period for 8 periods and reaches 15,938.48, so 5,938.48 is interest. Notice that more than 4,800 would have been earned with simple interest; the extra comes from interest on interest. To reverse the calculation, see present value; to find how long a target takes, see the number of periods formula.

Frequently asked questions

What is the future value formula?: FV = PV × (1 + r)ⁿ. Multiply the present value by one plus the rate per period, raised to the number of periods.
What is the difference between future value and compound interest?: They are the same calculation. Future value is the final balance; compound interest is the part of that balance that is interest, FV − PV.
Does the formula work for regular deposits?: No, it handles a single lump sum. For a series of equal deposits use the future value of an annuity formula.
Can the rate be negative?: Yes. A negative rate (for example, loss of value) makes the growth factor less than 1, so the future value is below the present value.

Last reviewed: September 26, 2026. Calculations run in your browser and were checked against numpy-financial, SciPy and published spreadsheet examples.