Present Value of $1 to Be Paid in the Future

This table shows how much $1, to be paid at the end of various periods in the future, is currently worth, with interest at different rates, compounded annually.

To use the table, find the vertical column under your interest rate (or cost of capital).  Then find the horizontal row corresponding to the number of years it will take to receive the payment.  The point at which the column and the row intersect is your present value of $1.  You can multiply this value by the number of dollars you expect to receive, in order to find the present value of the amount you expect.

An example showing how to use this table to find the Net Present Value of a major purchase or project follows the table.

Present Value of $1 to be Paid in Future

Years	3.0%	3.5%	4.0%	4.5%	
1	$0.970874 	$0.966184	$0.961538 	$0.956938 	
2	$0.942596 	$0.933511 	$0.924556 	$0.915730 	
3	$0.915142 	$0.901943	$0.888996 	$0.876297 	
4	$0.888487 	$0.871442 	$0.854804 	$0.838561 	
5	$0.862609 	$0.841973	$0.821927 	$0.802451 	
6	$0.837484 	$0.813501	$0.790315 	$0.767896 	
7	$0.813092 	$0.785991 	$0.759918 	$0.734828 	
8	$0.789409 	$0.759412 	$0.730690 	$0.703185 	
9	$0.766417 	$0.733731 	$0.702587 	$0.672904 	
10	$0.744094 	$0.708919 	$0.675564 	$0.643928 	
11	$0.722421 	$0.684946 	$0.649581 	$0.616199 	
12	$0.701380 	$0.661783 	$0.624597 	$0.589664 	
13	$0.680951 	$0.639404 	$0.600574 	$0.564272 	
14	$0.661118 	$0.617782	$0.577475 	$0.539973 	
15	$0.641862 	$0.596891	$0.555265 	$0.516720 	
16	$0.623167 	$0.576706	$0.533908 	$0.494469 	
17	$0.605016 	$0.557204	$0.513373 	$0.473176 	
18	$0.587395 	$0.538361	$0.493628 	$0.452800 	
19	$0.570286 	$0.520156 	$0.474642 	$0.433302 	
20	$0.553676 	$0.502566	$0.456387 	$0.414643 	
21	$0.537549 	$0.485571	$0.438834 	$0.396787 	
22	$0.521893 	$0.469151 	$0.421955 	$0.379701 	
23	$0.506692 	$0.453286	$0.405726 	$0.363350 	
24	$0.491934 	$0.437957 	$0.390121 	$0.347703 	
25	$0.477606 	$0.423147	$0.375117 	$0.332731 	

Years	5.0%	5.5%	6.0%	6.5%	
1	$0.952381 	$0.947867 	$0.943396 	$0.938967 	
2	$0.907029 	$0.898452 	$0.889996 	$0.881659 	
3	$0.863838 	$0.851614 	$0.839619 	$0.827849 	
4	$0.822702 	$0.807217 	$0.792094 	$0.777323 	
5	$0.783526 	$0.765134 	$0.747258 	$0.729881 	
6	$0.746215 	$0.725246 	$0.704961 	$0.685334 	
7	$0.710681 	$0.687437 	$0.665057 	$0.643506 	
8	$0.676839 	$0.651599 	$0.627412 	$0.604231 	
9	$0.644609 	$0.617629 	$0.591898 	$0.567353 	
10	$0.613913 	$0.585431 	$0.558395 	$0.532726 	
11	$0.584679 	$0.554911 	$0.526788 	$0.500212 	
12	$0.556837 	$0.525982 	$0.496969 	$0.469683 	
13	$0.530321 	$0.498561 	$0.468839 	$0.441017 	
14	$0.505068 	$0.472569 	$0.442301 	$0.414100 	
15	$0.481017 	$0.447933 	$0.417265 	$0.388827 	
16	$0.458112 	$0.424581 	$0.393646 	$0.365095 	
17	$0.436297 	$0.402447 	$0.371364 	$0.342813 	
18	$0.415521 	$0.381466 	$0.350344 	$0.321890 	
19	$0.395734 	$0.361579 	$0.330513 	$0.302244 	
20	$0.376889 	$0.342729 	$0.311805 	$0.283797 	
21	$0.358942 	$0.324862 	$0.294155 	$0.266476 	
22	$0.341850 	$0.307926 	$0.277505 	$0.250212 	
23	$0.325571 	$0.291873 	$0.261797 	$0.234941 	
24	$0.310068 	$0.276657 	$0.246979 	$0.220602 	
25	$0.295303 	$0.262234 	$0.232999 	$0.207138 	

Years	7.0%	7.5%	8.0%	8.5%	
1	$0.934579 	$0.930233 	$0.925926 	$0.921659 	
2	$0.873439 	$0.865333 	$0.857339 	$0.849455 	
3	$0.816298 	$0.804961 	$0.793832 	$0.782908 	
4	$0.762895 	$0.748801 	$0.735030 	$0.721574 	
5	$0.712986 	$0.696559 	$0.680583 	$0.665045 	
6	$0.666342 	$0.647962 	$0.630170 	$0.612945 	
7	$0.622750 	$0.602755 	$0.583490 	$0.564926 	
8	$0.582009 	$0.560702 	$0.540269 	$0.520669 	
9	$0.543934 	$0.521583 	$0.500249 	$0.479880 	
10	$0.508349 	$0.485194 	$0.463193 	$0.442285 	
11	$0.475093 	$0.451343 	$0.428883 	$0.407636 	
12	$0.444012 	$0.419854 	$0.397114 	$0.375702 	
13	$0.414964 	$0.390562 	$0.367698 	$0.346269 	
14	$0.387817 	$0.363313 	$0.340461 	$0.319142 	
15	$0.362446 	$0.337966 	$0.315242 	$0.294140 	
16	$0.338735 	$0.314387 	$0.291890 	$0.271097 	
17	$0.316574 	$0.292453 	$0.270269 	$0.249859 	
18	$0.295864 	$0.272049 	$0.250249 	$0.230285 	
19	$0.276508 	$0.253069 	$0.231712 	$0.212244 	
20	$0.258419 	$0.235413 	$0.214548 	$0.195616 	
21	$0.241513 	$0.218989 	$0.198656 	$0.180292 	
22	$0.225713 	$0.203711 	$0.183941 	$0.166167 	
23	$0.210947 	$0.189498 	$0.170315 	$0.153150 	
24	$0.197147 	$0.176277 	$0.157699 	$0.141152 	
25	$0.184249 	$0.163979 	$0.146018 	$0.130094 	

Years	9.0%	9.5%	10.0%	10.5%	
1	$0.917431 	$0.913242 	$0.909091 	$0.904977 	
2	$0.841680 	$0.834011 	$0.826446 	$0.818984 	
3	$0.772183 	$0.761654 	$0.751315 	$0.741162 	
4	$0.708425 	$0.695574 	$0.683013 	$0.670735 	
5	$0.649931 	$0.635228 	$0.620921 	$0.607000 	
6	$0.596267 	$0.580117 	$0.564474 	$0.549321 	
7	$0.547034 	$0.529787 	$0.513158 	$0.497123 	
8	$0.501866 	$0.483824 	$0.466507 	$0.449885 	
9	$0.460428 	$0.441848 	$0.424098 	$0.407136 	
10	$0.422411 	$0.403514 	$0.385543 	$0.368449 	
11	$0.387533 	$0.368506 	$0.350494 	$0.333438 	
12	$0.355535 	$0.336535 	$0.318631 	$0.301754 	
13	$0.326179 	$0.307338 	$0.289664 	$0.273080 	
14	$0.299246 	$0.280674 	$0.263331 	$0.247132 	
15	$0.274538 	$0.256323 	$0.239392 	$0.223648 	
16	$0.251870 	$0.234085 	$0.217629 	$0.202397 	
17	$0.231073 	$0.213777 	$0.197845 	$0.183164 	
18	$0.211994 	$0.195230 	$0.179859 	$0.165760 	
19	$0.194490 	$0.178292 	$0.163508 	$0.150009 	
20	$0.178431 	$0.162824 	$0.148644 	$0.135755 	
21	$0.163698 	$0.148697 	$0.135131 	$0.122855 	
22	$0.150182 	$0.135797 	$0.122846 	$0.111181 	
23	$0.137781 	$0.124015 	$0.111678 	$0.100616 	
24	$0.126405 	$0.113256 	$0.101526 	$0.091055 	
25	$0.115968 	$0.103430 	$0.092296 	$0.082403 	

Years	11.0%	11.5%	12.0%	12.5%	
1	$0.900901 	$0.896861 	$0.892857 	$0.888889 	
2	$0.811622 	$0.804360 	$0.797194 	$0.790123 	
3	$0.731191 	$0.721399 	$0.711780 	$0.702332 	
4	$0.658731 	$0.646994 	$0.635518 	$0.624295 	
5	$0.593451 	$0.580264 	$0.567427 	$0.554929 	
6	$0.534641 	$0.520416 	$0.506631 	$0.493270 	
7	$0.481658 	$0.466741 	$0.452349 	$0.438462 	
8	$0.433926 	$0.418602 	$0.403883 	$0.389744 	
9	$0.390925 	$0.375428 	$0.360610 	$0.346439 	
10	$0.352184 	$0.336706 	$0.321973 	$0.307946 	
11	$0.317283 	$0.301979 	$0.287476 	$0.273730 	
12	$0.285841 	$0.270833 	$0.256675 	$0.243315 	
13	$0.257514 	$0.242900 	$0.229174 	$0.216280 	
14	$0.231995 	$0.217847 	$0.204620 	$0.192249 	
15	$0.209004 	$0.195379 	$0.182696 	$0.170888 	
16	$0.188292 	$0.175227 	$0.163122 	$0.151901 	
17	$0.169633 	$0.157155 	$0.145644 	$0.135023 	
18	$0.152822 	$0.140946 	$0.130040 	$0.120020 	
19	$0.137678 	$0.126409 	$0.116107 	$0.106685 	
20	$0.124034 	$0.113371 	$0.103667 	$0.094831 	
21	$0.111742 	$0.101678 	$0.092560 	$0.084294 	
22	$0.100669 	$0.091191 	$0.082643 	$0.074928 	
23	$0.090693 	$0.081786 	$0.073788 	$0.066603 	
24	$0.081705 	$0.073351 	$0.065882 	$0.059202 	
25	$0.073608 	$0.065785 	$0.058823 	$0.052624 	

Years	13.0%	13.5%	14.0%	14.5%	
1	$0.884956 	$0.881057 	$0.877193 	$0.873362 	
2	$0.783147 	$0.776262 	$0.769468 	$0.762762 	
3	$0.693050 	$0.683931 	$0.674972 	$0.666168 	
4	$0.613319 	$0.602583 	$0.592080 	$0.581806 	
5	$0.542760 	$0.530910 	$0.519369 	$0.508127 	
6	$0.480319 	$0.467762 	$0.455587 	$0.443779 	
7	$0.425061 	$0.412125 	$0.399637 	$0.387580 	
8	$0.376160 	$0.363106 	$0.350559 	$0.338498 	
9	$0.332885 	$0.319917 	$0.307508 	$0.295631 	
10	$0.294588 	$0.281865 	$0.269744 	$0.258193 	
11	$0.260698 	$0.248339 	$0.236617 	$0.225496 	
12	$0.230706 	$0.218801 	$0.207559 	$0.196940 	
13	$0.204165 	$0.192776 	$0.182069 	$0.172000 	
14	$0.180677 	$0.169847 	$0.159710 	$0.150218 	
15	$0.159891 	$0.149645 	$0.140096 	$0.131195 	
16	$0.141496 	$0.131846 	$0.122892 	$0.114581 	
17	$0.125218 	$0.116164 	$0.107800 	$0.100071 	
18	$0.110812 	$0.102347 	$0.094561 	$0.087398 	
19	$0.098064 	$0.090173 	$0.082948 	$0.076330 	
20	$0.086782 	$0.079448 	$0.072762 	$0.066664 	
21	$0.076798 	$0.069998 	$0.063826 	$0.058222 	
22	$0.067963 	$0.061672 	$0.055988 	$0.050849 	
23	$0.060144 	$0.054337 	$0.049112 	$0.044409 	
24	$0.053225 	$0.047874 	$0.043081 	$0.038785 	
25	$0.047102 	$0.042180 	$0.037790 	$0.033874 	

Years	15.0%				
1	$0.869565 				
2	$0.756144 				
3	$0.657516 				
4	$0.571753 				
5	$0.497177 				
6	$0.432328 				
7	$0.375937 				
8	$0.326902 				
9	$0.284262 				
10	$0.247185 				
11	$0.214943 				
12	$0.186907 				
13	$0.162528 				
14	$0.141329 				
15	$0.122894 				
16	$0.106865 				
17	$0.092926 				
18	$0.080805 				
19	$0.070265 				
20	$0.061100 				
21	$0.053131 				
22	$0.046201 				
23	$0.040174 				
24	$0.034934 				
25	$0.030378 				

Example: As an example of how the table can be used to compute the net present value of a major project, consider the following:

Traders, Inc. is considering the acquisition of a new machine.  After all the factors are considered (including initial costs, tax savings from depreciation, revenue from additional sales, and taxes on additional revenues), Traders projects the following cash flows from the machine:

Year 1:   ($10,000)
Year 2:    $  3,000
Year 3:    $  3,500
Year 4:    $  3,500
Year 5:    $  3,000

Assume that Traders’ cost of capital is 9%, using the net present value table shows whether the new machine would at least cover its financial costs:

Year	Cash Flow	Table Factor	Present Value	
1	($10,000) x	1.000000 =	($10,000.00)	
2	 $  3,000  x	0.917431 =	   $2,752.29	
3	 $  3,500  x	0.841680 =	   $2,945.88	
4	 $  3,500  x	0.772183 =	   $2,702.64	
5	 $  3,000  x	0.708425 =	   $2,125.28	
			----------------	
		       NPV =	  $   526.09	
 
Since the net present value of the cash flow is positive, the purchase of the new machine would be at least slightly profitable for Traders.