I have the annual rate and the estimated lump sum amount in 20 years. There are no new contributions. I want to know how to find out what my balance is right now, so I can estimate its value in 10 years. I can't get this to work the Excel FV or PV functions. Ideas?|||you just type how to calculate money in yahoo and it will give you the formula for this and most any other money problem!!!|||Here is an example of the formula to use:
Future lump sum: $10,000
Time until payment: 20 years
Interest rate: 5%
Value now = 10,000 / (1 + .05) ^ 20
= $3,769
Value in 10 years = 10,000 / (1 + .05) ^10
= $6,139
You could have also done: $3,769 x (1.05) ^10 = $6,139
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