#### FV

##### FV(rate, periods, payment, presentMoney, type)

Returns a number specifying the future value of an annuity based on periodic, fixed payments and a fixed interest rate.

Overloads

- FV(rate, periods, payment)
- FV(rate, periods, payment, presentMoney)
- FV(rate, periods, payment, presentMoney, type)

Parameters

- rate - A Number that specifies the interest rate per period.
- periods - A positive Number that specifies the total number of payment periods in the annuity. The units used for specifying rate and periods must consistent. For example, if periods is the number of periods in months, then rate is a monthly interest rate.
- payment - A Number or Currency that specifies the payment to be made each period.
- presentMoney - An optional Number or Currency that specifies the present value of a series of future payments.
- type - An optional Number that specifies when payments are due. Specify 0 if payments are due at the end of the payment period, and 1 if payments are due at the beginning of the period. If omitted, 1 will be used.

Return value

Number value.

Examples

- Suppose that you put $1100 per month into a retirement savings plan that pays 6 percent annual interest, compounded monthly. How much will the account be worth after 20 years?

  `FV(0.06 / 12, 20 * 12, -1100)` - Returns 507144.99. So your account will have $507,145. The payment (-1100) is negative since you are paying out the money to the plan.

  The above example assumes that you make your payments into the plan at the end of the month. Thus, after the first month, your plan would have $1100 in it, since there wouldn't have been enough time for any interest to accrue.

- Suppose that instead, you make your payments at the start of the month,

  `FV(0.06 / 12, 20 * 12, -1100, 0, 1)` - Returns 510786.21 (rounded to the nearest integer). So your account will have $510,786. You will save $3,642 more by depositing at the beginning of the month.

- Now suppose that in addition to making payments at the start of the month, you start your plan with an initial deposit of $25,000,

  `FV(0.06 / 12, 20 * 12, -1100, -25000, 1)` - Returns 593541.33 (rounded to the nearest integer). Your account will have $ 593,541 after 20 years.

- You can also use the FV function to calculate the future value of a lump sum deposit. For example, if you deposit $25,000 into a plan that pays 6 percent annual interest compounded monthly for 20 years,

  `FV(0.06 / 12, 20 * 12, 0, -25000)` - Returns 82755.12 (rounded to the nearest integer). You would have $82755.12 in your account.