This issue price calculator finds the price to pay today (present value) for a certificate that pays a fixed maturity value, discounted at a given rate. Enter the values above.
Formula
Issue price = Maturity value ÷ (1 + r)ⁿ
Example
$1,000 maturity, 6%, 5 years: issue price = 1,000 ÷ 1.06⁵ = $747.26.
Good to know
These results are estimates for educational purposes only and are not financial advice. Rates, fees, and terms vary — confirm figures with a licensed professional before making decisions. Last updated: August 2026.
Frequently Asked Questions
How do I calculate a certificate’s issue price?
Discount the maturity value back to today: divide it by (1 + rate) to the power of the number of periods.
Why is the issue price below face value?
Because money today is worth more than the same amount later; the discount reflects the time value of money.
What rate should I use?
The market yield for a similar-risk instrument over the same term.