Annuities Calculator

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For an Annuity Immediate:
Payment = 150000
n = 25
Interest Rate = 7
Calculate Present Value, Accumulated Value

PV annuity immediate formula:

a_n\|i =	Payment * (1 - vⁿ)
	i

Calculate v:

v =	1
	1 + i

v =	1
	1 + 0.07

v =	1
	1.07

v = 0.93457943925234

Calculate PV given i = 0.07, n = 25, and v = 0.93457943925234

a_25\|0.07 =	150000 * (1 - 0.93457943925234²⁵)
	0.07

a_25\|0.07 =	150000 * (1 - 0.18424917752224)
	0.07

a_25\|0.07 =	150000 * 0.81575082247776
	0.07

a_25\|0.07 =	122362.62337166
	0.07

a_25|0.07 = 1748037.4767

AV annuity immediate formula:

s_n\|i =	Payment * ((1 + i)ⁿ - 1)
	i

Calculate AV given i = 0.07, n = 25

s_25\|0.07 =	150000 * ((1 + 0.07)²⁵ - 1)
	0.07

s_25\|0.07 =	150000 * (1.07²⁵ - 1)
	0.07

s_25\|0.07 =	150000 * (5.4274326401229 - 1)
	0.07

s_25\|0.07 =	150000 * 4.4274326401229
	0.07

s_25\|0.07 =	664114.89601843
	0.07

s_25|0.07 = 9487355.6574

How much of AV is principal?:

Principal = Payment Amount * n
Principal = 150000 * 25
Principal = 3750000

Calculate Interest Paid:

Interest Paid = Accumulated Value - Principal
Interest Paid = 9487355.6574 - 3750000

Interest Paid = 5737355.66

You have 1 free calculations remaining

What is the Answer?

Interest Paid = 5737355.66

How does the Annuities Calculator work?

Free Annuities Calculator - Solves for Present Value, Accumulated Value (Future Value or Savings), Payment, or N of an Annuity Immediate or Annuity Due.
This calculator has 5 inputs.

What 4 formulas are used for the Annuities Calculator?

PV Annuity Immediate = Pmt * (1 - vⁿ)/i
PV Annuity Immediate = Pmt * (1 - vⁿ)/d
Accumulated Value of Annuity Immediate = Pmt * ((1 + i)ⁿ - 1)/i
Accumulated Value of Annuity Immediate = Pmt * ((1 + i)ⁿ - 1)/d

For more math formulas, check out our Formula Dossier

What 8 concepts are covered in the Annuities Calculator?

accumulated value: The total value of an investment, including principal and interest accrued
annuities
annuity: A stream of payments
future value: the value of a current asset at a future date based on an assumed rate of growth
interest: payment from a borrower or deposit-taking financial institution to a lender or depositor of an amount above repayment of the principal sum, at a particular rate
interest rate: the proportion of a loan that is charged as interest to the borrower or proportion of principal credit given to a depositor
present value: the value in the present of a sum of money, in contrast to some future value it will have when it has been invested at compound interest.
PV = FV/(1 + i)ⁿ
where I is the interest rate per period, PV = Present Value, and FV = Future Value
principal: The amount borrowed on a loan, before interest is charged