Calculate maturity value, principal, return rate or time from the compound growth formula by entering any three of the four inputs.
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Maturity Value Formula
The maturity value calculator uses compound growth. Enter any three values to calculate the missing one.
MV = P(1 + r/100)^t
- MV = maturity value, or the final amount
- P = principal amount, or the starting amount
- r = annual return rate as a percent
- t = time in years
If the principal amount is missing, the formula is rearranged as:
P = MV / (1 + r/100)^t
If the return rate is missing, the formula is rearranged as:
r = ((MV / P)^(1/t) - 1) * 100
If the time is missing, the formula is rearranged as:
t = log(MV / P) / log(1 + r/100)
The calculator applies the same compound growth relationship in each direction. You can solve for the maturity value, the starting principal, the annual return rate, or the time needed to reach a target value.
Common Return Rates and Growth Multipliers
The table below shows how much $1 grows to at different annual return rates and time periods, before taxes, fees, or withdrawals.
| Annual return | 5 years | 10 years | 20 years | 30 years |
|---|---|---|---|---|
| 3% | 1.159 | 1.344 | 1.806 | 2.427 |
| 5% | 1.276 | 1.629 | 2.653 | 4.322 |
| 7% | 1.403 | 1.967 | 3.870 | 7.612 |
| 10% | 1.611 | 2.594 | 6.727 | 17.449 |
Example Calculations
Example 1: Calculate maturity value
You invest $10,000 at a 6% annual return for 8 years.
MV = 10000(1 + 6/100)^8
MV = 10000(1.06)^8 = 15938.48
The maturity value is $15,938.48.
Example 2: Calculate the required return rate
You want $5,000 to grow to $7,000 in 6 years.
r = ((7000 / 5000)^(1/6) - 1) * 100
r = 5.77%
You need an annual return rate of about 5.77%.
FAQ
What is maturity value?
Maturity value is the amount an investment or deposit is worth at the end of a set period. It includes the original principal plus the growth earned over time.
Is the return rate compounded annually?
Yes. This calculator treats the return rate as an annual compounded rate. If your investment compounds monthly, daily, or on another schedule, the result may be different.
Can the return rate be negative?
A negative return rate represents a loss. The formula can handle negative rates as long as the growth factor, 1 + r/100, remains greater than zero. For example, a -5% return uses a growth factor of 0.95.
