The future value of an annuity answers “what will my regular savings grow to?”. An annuity due is worth (1 + i) times an ordinary annuity because every payment earns one more period of interest.
How to use the Future Value of Annuity Calculator
- Payment per period
- Annual interest rate
- Number of years
- Payment frequency
- Compounding frequency
- Payments made at
- Growth of payments per year
Results update as you type, and every field accepts the units shown in its menu.
How it works
Enter the payment, interest rate, number of years, payment frequency, compounding, timing and payment growth.
Tips
- Start early – time does more of the work than the amount you save.
- Take the full employer match if your plan offers one.
- Plan with a cautious return (4–6% after inflation) and check again every year.
- Know the contribution limits and required minimum distribution rules for your accounts.
Common mistakes to avoid
- Ignoring inflation when setting a retirement target.
- Underestimating how long retirement can last.
- Withdrawing early and paying penalties and taxes.
Inputs explained
| Field | What to enter |
|---|---|
| Payment per period | Amount in your currency |
| Annual interest rate | In % |
| Number of years | Units: years, months |
| Payment frequency | Choose one: Monthly, Semi-monthly, Bi-weekly, Weekly … |
| Compounding frequency | Choose one: Yearly, Semi-annually, Quarterly, Monthly … |
| Payments made at | Choose one: End of each period, Beginning of each period |
| Growth of payments per year | In % |
What each result means
- Number of payments = round([Number of years]×[Payment frequency])
- Future value = gfv([Rate per payment period], [Number of payments], [Payment per period], [Payment growth per period], [Payments made at])
- Interest earned = [Future value] – [Total payments]
Example values
How the main result changes when Payment per period changes and everything else stays at the example values above:
| Payment per period | Future value |
|---|---|
| 250 | 115,510.22 |
| 375 | 173,265.34 |
| 500 | 231,020.45 |
| 625 | 288,775.56 |
| 750 | 346,530.67 |
| 1,000 | 462,040.9 |
Formula
FV = P × ((1 + i)^n − 1) ÷ i × (1 + i × timing)Growing: FV = P × ((1 + i)^n − (1 + g)^n) ÷ (i − g) × (1 + i × timing)Worked example
Inputs — Payment per period: $500; Annual interest rate: 6 %; Number of years: 20 years; Payment frequency: Monthly; Compounding frequency: Monthly; Payments made at: End of each period; Growth of payments per year: 0 %.
Results — Number of payments = 240; Future value = $231,020.45; Total payments = $120,000.00; Interest earned = $111,020.45.
Frequently asked questions
What is the future value of an annuity?
The value of all payments plus interest at the end of the term.
How does an annuity due differ?
Payments at the start of each period earn one extra period of interest.
What is a growing annuity?
Payments that rise by a fixed percentage each period.
What formula does the Future Value of Annuity Calculator use?
FV = P × ((1 + i)^n − 1) ÷ i × (1 + i × timing).