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Home > Income Tax > Help Center > Present Value of Future Money Calculator Last Updated: Jan 31st 2024

Present Value of Future Money Calculator

Find out how much the money you plan to get in the future is worth right now. The EZTax calculator helps you figure out how much money to save today so that you have it later.

Calculator helps find the net present value in rupees of something that will be worth in the future, along with the number of years and the rate of inflation per year. It can also help you save money and pick better investments.

Present Value of Future Money Calculator

   Present Value of Future Money Calculator
Future Value (in Rs.)
Money that you are planning to get in future from an investment and/or receivable.

Amount can not be -ve value
Number of Years
Years from today the future money belongs to.

Period can not be -ve value
Average Annual Inflation Rate (%)
Indian inflation in recent years is @ 6.5%, real inflation could be around 8%

Inflation rate can not be -ve value
Present Value In Today’s Money
Total Inflation Adjustment

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Frequently asked Questions

1. How does inflation affect Present Value?

To account for inflation, the Present Value should be changed using a real discount rate. This is because inflation makes money less valuable over time. Hence, give real inflation rate in the above calculator.

2. What are some real-world applications of Present Value?

For a common person, it's simply to know how much the value of money that is expected to receive in future. Useful when one is investing in fixed income instruments. Also used in financial computations, such as budgeting, investment analysis, and loan calculations.

3. How do I use a Present Value Calculator?

Type in the amount of money you are planning to receive, the average rate of inflation you think it will have each year, and the number of periods. The tool will figure out the Present Value for you.

4. How is Present Value calculated?

The formula for Present Value is

PV = FV / (1 + r)^n

where PV is Present Value, FV is future value of investment, r is the expected annual inflation rate, and n is the number of periods.

How to get help from

Disclaimer: This article provides an overview and general guidance, not exhaustive for brevity. Please refer Income Tax Act, GST Act, Companies Act and other tax compliance acts, Rules, and Notifications for details.