Comments on: How to Calculate the Time Value of Money

By: Funroe22

Funroe22 — Sat, 13 Sep 2008 21:37:08 +0000

This example helped me to understand. It was easy to follow along and I don’t enjoy math.

Thank you for sharing.

By: Sumar

Sumar — Thu, 19 Oct 2006 05:22:15 +0000

http://www.financescholar.com/timevalueofmoney.html offers description of Present Value, Future Value and Compounding Interest with custom made graphs:

By: C. NEAL

C. NEAL — Tue, 13 Jun 2006 03:47:47 +0000

CURRENTLY I AM IN A FIN CLASS ONLINE. I HAVE NEVER TAKEN FIN AND THIS WAS VERY HELPFUL. MY CURRENT ASSIGNMENTS ASK ME TO CALCULATE TMV AND PROVIDE EXCEL TMV FORMULAS. YOU MENTIONED YOU COULD PUT THE EXAMPLES IN A SPREADSHEET. I WOULD BE VERY INTERESTED IN SEEING THAT AS IT WOULD BE HELPFUL WITH THIS WEEKS ASSIGNMENT.

THANK YOU

By: Barberman

Barberman — Mon, 24 Apr 2006 03:50:15 +0000

Troy
This calculator assumes 7.5%, but it will give you an idea!
Barberman
Retirement Calculator

http://www.bankrate.com/brm/calculators/investing.asp

Your Results
Required Income (Current Dollars) $24,000.00
Required Income (Future Dollars) $24,000.00
Number of Years Until Retiring 10
Number of Years After Retiring 25
Annual Inflation (on Required Income) 0.00%
Annual Yield on Balance 7.50%
You will need $287,591.20 ($139,537.51 invested today)
Year Beg.Bal. Withdraw Interest End Bal.
1 287,591.20 24,000.00 19,769.34 283,360.54
2 283,360.54 24,000.00 19,452.04 278,812.58
3 278,812.58 24,000.00 19,110.94 273,923.53
4 273,923.53 24,000.00 18,744.26 268,667.79
5 268,667.79 24,000.00 18,350.08 263,017.88
6 263,017.88 24,000.00 17,926.34 256,944.22
7 256,944.22 24,000.00 17,470.82 250,415.03
8 250,415.03 24,000.00 16,981.13 243,396.16
9 243,396.16 24,000.00 16,454.71 235,850.87
10 235,850.87 24,000.00 15,888.82 227,739.69
11 227,739.69 24,000.00 15,280.48 219,020.17
12 219,020.17 24,000.00 14,626.51 209,646.68
13 209,646.68 24,000.00 13,923.50 199,570.18
14 199,570.18 24,000.00 13,167.76 188,737.94
15 188,737.94 24,000.00 12,355.35 177,093.29
16 177,093.29 24,000.00 11,482.00 164,575.29
17 164,575.29 24,000.00 10,543.15 151,118.43
18 151,118.43 24,000.00 9,533.88 136,652.31
19 136,652.31 24,000.00 8,448.92 121,101.24
20 121,101.24 24,000.00 7,282.59 104,383.83
21 104,383.83 24,000.00 6,028.79 86,412.62
22 86,412.62 24,000.00 4,680.95 67,093.56
23 67,093.56 24,000.00 3,232.02 46,325.58
24 46,325.58 24,000.00 1,674.42 24,000.00
25 24,000.00 24,000.00 -0.00 -0.00

By: Troy Miller

Troy Miller — Thu, 20 Apr 2006 22:41:49 +0000

I am planning to retire 10 years from today. I want to have enough money set aside to allow me to draw $2,000 per month for 20 consecutive years after I retire. I currently have $50,000 in my savings account. Approximately, how much do I have to deposit each month into my account to be able to retire 10 years from now? Assume I can earn 6% per year.

Can you help with this calculation? and How?

By: zoroastrian symbol

zoroastrian symbol — Thu, 16 Mar 2006 02:02:12 +0000

A man is trying to understand the nature of God and asked him: “God, how long is a million years to you?”

God answered: “A million years is like a minute.”

Then the man asked: “God, how much is a million dollars to you?” And God replied: “A million dollars is like a penny.”

Finally the man asked: “God, could you give me a penny?” And God says: “In a minute.”

By: Loi Tran

Loi Tran — Tue, 03 Jan 2006 17:59:50 +0000

I’d like to have enough money so that I will not have to eat into the principal at retirement just in case I live too
long. Most people use 4% as a safe withdrawal rate, but 3% would be more conservative.

By: Consumerism Commentary

Consumerism Commentary — Tue, 03 Jan 2006 03:10:33 +0000

Carnival of Investing #3

Welcome to Consumerism Commentary, this week’s host of the Carnival of Investing! The Carnival of Investing is a new Blog Carnival that collects the best blog entries in the past week or so that focus on the topic of investing. In the words of Mr…