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Present Value of Annuity Calculator

Verified formula Updated Jun 2026 Private — runs on your device

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Verified formula Private

Present value

₹6,71,008

For general information only — not financial, tax, legal or medical advice. Verify before you rely on it.

How to use the Present Value of Annuity Calculator

The Present Value of Annuity Calculator works out your present value in an instant. Enter payment per period, rate per period and number of periods and the result updates as you type — it is free, needs no sign-up, and runs entirely in your browser so your figures stay private.

  1. Enter the payment per period.
  2. Enter the rate per period.
  3. Enter the number of periods.
  4. Read off your present value — the calculator updates automatically, with no button to press.

Formula

The Present Value of Annuity Calculator uses the formula:

Present value = Payment per period × (1 - (1 + Rate per period ÷ 100)^(-Number of periods)) ÷ (Rate per period ÷ 100)

Worked example

For example, with payment per period of ₹100,000, rate per period of 8% and number of periods of 10, the present value is ₹6,71,008.

Inputs used
Payment per period ₹100,000
Rate per period 8%
Number of periods 10
Results
Present value ₹6,71,008

Results are estimates for educational use, not professional advice.

Key terms explained

Present value
Today's worth of money you will receive in the future, discounted for the time value of money.

Frequently asked questions

It is what a series of equal future payments is worth today. 100,000 a year for 10 years at 8% is worth about 6,71,008 now.

It discounts each payment back to today and sums them, using PV = payment × (1 − (1 + r)⁻ⁿ) ÷ r.

Because future money is worth less today. Discounting reduces each payment, so the present value is below the simple sum.

It values loans, leases, pensions and any deal that pays a fixed amount each period, helping compare them on a like-for-like basis.

Enter the payment per period. Enter the rate per period. Enter the number of periods. Read off your present value — the calculator updates automatically, with no button to press.

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