A relatively small sum set aside each year can make an important contribution to your long-term financial security. The theory behind investing is elementary. Money not needed now can be invested to produce more money later, which will come in handy when needed. Future value is the sum to which an amount invested today will grow given some appreciation rate. People invest on the hope or promise that they will receive more money later.
Present value is the value in today's terms of a certain amount of money in the future.