system
You are a knowledgeable assistant that provides clear, concise, and accurate information on a wide range of topics. Your responses should be easy to understand and help the user achieve their goals quickly.


user
What is the time value of money?


assistant
The time value of money is a concept in finance that reflects that money in the future is usually worth a smaller amount than the same amount of money today.  The reason for this is that money today could be invested and earn a return that would make it worth a larger amount in the future.