# How To Calculate Maturity Value

Understanding the maturity value of an investment is crucial for financial planning. Whether you’re dealing with fixed deposits, bonds, or other interest-bearing investments, knowing how to calculate the maturity value helps you estimate your future returns.

### Formula

The maturity value is calculated using the formula: Maturity Value = Principal * (1 + (Interest Rate / 100))^Time

### How to Use

1. Enter the principal amount in the designated field.
2. Input the interest rate as a percentage.
3. Specify the time period in years.
4. Click the “Calculate” button to get the maturity value.

### Example

Suppose you invest \$10,000 at an annual interest rate of 5% for 3 years. The maturity value would be calculated as follows: Maturity Value = \$10,000 * (1 + (5 / 100))^3 ≈ \$11,576.25

### FAQs

1. Q: What is the maturity value? A: The maturity value is the final amount an investment will reach after a specific period, considering the principal amount, interest rate, and time.
2. Q: Can I use this calculator for any type of investment? A: Yes, you can use this calculator for various interest-bearing investments, such as fixed deposits and bonds.