# FV Function

**Office 2010**

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

**Syntax**

**FV( rate**,

**,**

*nper***[,**

*pmt***[,**

*pv***]]**

*type***)**

The **FV** function has these named arguments:

Part | Description |
---|---|

| Required. |

| Required. Integer specifying total number of payment periods in the annuity. For example, if you make monthly payments on a four-year car loan, your loan has a total of 4 * 12 (or 48) payment periods. |

| Required. |

| Optional. Variant specifying present value (or lump sum) of a series of future payments. For example, when you borrow money to buy a car, the loan amount is the present value to the lender of the monthly car payments you will make. If omitted, 0 is assumed. |

| Optional. |

**Remarks**

An annuity is a series of fixed cash payments made over a period of time. An annuity can be a loan (such as a home mortgage) or an investment (such as a monthly savings plan).

The ** rate** and

**arguments must be calculated using payment periods expressed in the same units. For example, if**

*nper***is calculated using months,**

*rate***must also be calculated using months.**

*nper*For all arguments, cash paid out (such as deposits to savings) is represented by negative numbers; cash received (such as dividend checks) is represented by positive numbers.

This example uses the **FV** function to return the future value of an investment given the percentage rate that accrues per period (APR / 12), the total number of payments (TotPmts), the payment (Payment), the current value of the investment (PVal), and a number that indicates whether the payment is made at the beginning or end of the payment period (PayType). Note that because Payment represents cash paid out, it's a negative number.

Dim Fmt, Payment, APR, TotPmts, PayType, PVal, FVal Const ENDPERIOD = 0, BEGINPERIOD = 1 ' When payments are made. Fmt = "###,###,##0.00" ' Define money format. Payment = InputBox("How much do you plan to save each month?") APR = InputBox("Enter the expected interest annual percentage rate.") If APR > 1 Then APR = APR / 100 ' Ensure proper form. TotPmts = InputBox("For how many months do you expect to save?") PayType = MsgBox("Do you make payments at the end of month?", vbYesNo) If PayType = vbNo Then PayType = BEGINPERIOD Else PayType = ENDPERIOD PVal = InputBox("How much is in this savings account now?") FVal = FV(APR / 12, TotPmts, -Payment, -PVal, PayType) MsgBox "Your savings will be worth " & Format(FVal, Fmt) & "."