Present Value Calculator - Discount Future Cash Flows to Today
Calculate the present value of future money using the time value of money. Discount cash flows with adjustable compounding, inflation, and discount rates for investment analysis.
Present Value Calculator
Calculate the current worth of future money with discounting for inflation and opportunity cost.
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Calculated Present Value
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This is the value of your future sum in today's dollars.
Buying Power Loss—
Discount Factor—
Total Inflation—
Year-by-Year Value Erosion
| Year | Nominal Value | Real Value (Today $) | Value Retained |
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How to Use Present Value Calculator - Discount Future Cash Flows to Today in 3 Easy Steps
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Step 1
Enter the future value you want to discount.
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Step 2
Set the discount rate and number of periods.
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Step 3
Adjust compounding frequency and inflation settings for precise results.
Frequently Asked Questions
Present Value is the current worth of a future sum of money, discounted at a specific rate to reflect the time value of money.
Because today's dollar can be invested to earn returns, making it grow to more than one dollar by tomorrow — that's the time value of money.
Use your opportunity cost — the return you could earn on alternative investments. For risk-free analysis, use Treasury yields.
At 0%, PV equals FV — there is no discounting and future money has the same value as present money.
A bond price equals the PV of its future coupon payments plus the PV of its face value at maturity, discounted at the market yield.