How this calculation works
Value a future lump sum and equal periodic receipts in today’s money using one discount rate. The two components are valued separately and added, so enter only cash flows you intend to receive: do not include the same final payment in both the lump sum and the recurring-payment amount.
Worked example
This example uses illustrative inputs. Your current result is shown above.
Enter future lump sum ₹1,210, periodic payment ₹110, annual rate 10%, 2 years, annual periods and end timing. The lump sum is worth ₹1,000 today; the two payments are worth ₹100 + ₹90.91 = ₹190.91. Total present value is ₹1,190.91 against ₹1,430 undiscounted receipts, a ₹239.09 discount.
Assumptions and limits
- The recurring payment frequency equals the selected compounding frequency.
- The annual rate is nominal and divided by periods per year; every payment has the same amount.
- Payments and the future lump sum are additive receipts with no default risk, tax or fee adjustment.
Questions people ask
What does beginning timing change?
Each recurring receipt is moved one period earlier, so its present value rises by one periodic growth factor. The future lump sum still occurs at the end of the full term.
Can I value only one future amount?
Yes. Set periodic payment to zero. To value only a regular stream, set the future lump sum to zero.
Which tool handles different payments each year?
Use NPV when the annual net cash flows differ. This form is for equal recurring receipts plus an optional final lump sum.