Net Present Value (NPV) Calculator
Fill in the values and the answer updates as you type.
How the Net Present Value (NPV) Calculator works
NPV = sum of each year's cash flow ÷ (1 + rate)^year − the initial investment. Enter one cash flow per year, separated by commas. A positive NPV means the project earns more than your discount rate. Example: $10,000 invested today with the default cash flows at 8% gives an NPV of about $2,381.
Inputs and results
The Net Present Value (NPV) Calculator takes 3 inputs and gives 4 results.
What you enter
- Discount rate (%) — starts at 8.
- Initial investment ($) — starts at 10000.
- Cash flows for year 1, 2, 3… (comma separated) — starts at 3000, 4000, 5000, 3000.
What you get
- Net present value
- Present value of cash inflows
- Result
- Profitability index
Example: Net Present Value (NPV) Calculator with the starting values
With discount rate 8 %, initial investment 10000 $ and cash flows for year 1, 2, 3… (comma separated) 3000, 4000, 5000, 3000, the calculator returns:
| Net present value | $2,381.38 |
|---|---|
| Present value of cash inflows | $12,381.38 |
| Result | Positive NPV: adds value |
| Profitability index | 1.24 |
Change any value above and the results update straight away.
Net Present Value (NPV) Calculator FAQ
How do I use the Net Present Value (NPV) Calculator?
Enter discount rate, initial investment and cash flows for year 1, 2, 3… (comma separated) in the fields, then read net present value, present value of cash inflows, result and profitability index in the result panel. The answer updates as you type, and you can press Calculate or Enter to refresh it. Use “Copy link” to share your exact numbers with someone else.
What does the Net Present Value (NPV) Calculator calculate?
Discount future cash flows to see if an investment is worth it. It returns net present value, present value of cash inflows, result and profitability index from the 3 values you provide.
What values does the Net Present Value (NPV) Calculator start with?
It opens with discount rate 8 %, initial investment 10000 $ and cash flows for year 1, 2, 3… (comma separated) 3000, 4000, 5000, 3000 so you can see a working result straight away. Replace them with your own numbers, or press Reset to return to these starting values.
Is the Net Present Value (NPV) Calculator free and private?
Yes. It is free, needs no account, and runs in your browser, so nothing you type is sent to or stored on our servers. See the Privacy Policy for details.
Can I rely on the Net Present Value (NPV) Calculator for financial decisions?
Treat the result as a well-rounded estimate. Real situations often have details a general calculator cannot know, so confirm financial decisions with a qualified professional. See the Disclaimer for more.