Future Value of $5,000 at 8% for 20 Years + $100/Period
Starting with $5,000 and adding $100 each period at 8% return for 20 periods results in a substantially larger future value than the lump sum alone.
How to use this tool
- Enter your starting amount (present value).
- Enter the return rate per period and the number of periods.
- Add a contribution per period if you invest regularly (or leave it at 0).
- Read the future value, total contributions, and total growth.
- Keep the rate and periods on the same unit (both annual or both monthly).
Calculate how regular contributions dramatically boost the future value of an initial investment over time.
Frequently asked questions
- How is future value calculated?
- Future value = PV × (1 + r)^n for a lump sum, plus PMT × ((1 + r)^n − 1) ÷ r for regular end-of-period contributions, where r is the rate per period and n the number of periods.
- What is the difference between contributions and growth?
- Total contributions are the dollars you put in (starting amount plus all periodic additions). Total growth is everything earned on top of that through compounding.
- Do the rate and periods have to match?
- Yes. Use an annual rate with a number of years, or a monthly rate with a number of months. Mixing units gives an incorrect result.
- Does this account for inflation?
- Not directly. To see future value in today's purchasing power, enter a real (after-inflation) rate of return instead of a nominal one.