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Finversity
Personal FinanceCore ConceptsIntermediate₹199

Time Value of Money: Why Now is Better Than Later

The fundamental logic of finance: Why money today is worth more than the same amount tomorrow.

Pratham Wealth•3 min read•Updated 9 months ago
Interactive Course Curriculum • Personal Finance
0 of 3 Units Complete0% Done

Time Value of Money: Why Now is Better Than Later

Section 1 of 4•Estimated Time: 3 minutes

Overview & Market Foundations

Market backdrop, executive takeaways & goals

Imagine I offer you ₹10,000 today OR ₹10,000 one year from now. Which do you pick?

Most people immediately choose today. But why? Is it just impatience? No, it is solid financial logic.

Important Key Principle

• The Core Intuition

The Time Value of Money (TVM) is the concept that money available at the present time is worth more than the identical sum in the future due to its potential earning capacity.

Unit 1 / 4•0% Mastered