Annuity Calculator
Future value of regular annuity contributions with compounding.
Annuity Details
Annuity Future Value
How annuity growth works
Every month your contribution joins the fund and the whole balance earns the monthly equivalent of the annual return. Over 20 years, compounding turns regular payments into a fund far larger than the total you put in — the interest earned column shows that bonus.
Annuity FAQ
Annuity Calculator — family future value for regular payments
An annuity is a series of regular payments — either contributions growing for the future or payouts received in retirement. This calculator projects the future value of your annuity contributions (lump sum plus regular deposits) including every dollar of compound interest.
Annuity future value explained
FV = P × (1+r)^n + C × [((1+r)^n − 1) ÷ r], where P is the initial lump, C the regular contribution and r the periodic rate.
Annuities are the backbone of pensions, insurance savings plans and NPS — the same math powers your retirement corpus growth.
Ordinary annuities pay at the end of each period; annuity-due pays at the beginning (worth slightly more).
How to use this calculator
- Enter the starting lump sum (0 if starting fresh).
- Add the regular monthly contribution.
- Set the annual rate and the number of years.
- Read the future value, total contributed and interest earned.
Pro tips
- Use annuities for guaranteed pension-building; they sacrifice some upside for certainty.
- Tax treatment varies: NPS and pension plans differ from taxable insurance annuities.
- Compare the annuity's internal rate against a simple index fund before locking in.