In an economic market as diverse as India, investment plans of all kinds are evolving into becoming as customizable and flexible as possible. Investors today, are actively looking for capital growth that thrives over an extended period of time, with assured monetary stability. The best money investment plans are built on high-interest margins, high liquidity, and customizable growth and payout patterns.
Investment plans are reliable methods to build one’s financial corpus over a determined time period, suited as per the policyholder’s necessities. Investment plans, although offered of all types follow a basic pattern where the investor makes nominal premium payments into a fund, where these accumulate over time.
With the evolution of such investment solutions in the Indian market, a parallel emergence of resources and tools to help potential policyholders choose plans has also been prevalent. An investment calculator is one of the most reliable ways to find the best investment solutions and visibility for potential investors; in a manner that is tailored to their requirements and capacities.
One may use an investment calculator to find their ideal investment brackets or gauge which frequency of investment is the best for their economic growth. A ULIP calculator is an example of an investment calculator that works similarly, where the potential investor can see their return on investment online, for free.
An investment calculator is crucial to the process of tracking one’s investment needs, as it shows a person’s projected investment return against the person’s chosen investment amount. It mitigates all possibilities of missed metrics and also helps them see a projected amount on the basis of their preferred interest rate. Since it is also free of cost, it also removes all redundant consultation fees and allows the investor to consider all factors before investing, independently.
Now that the fundamentals of an investment calculator have been established, let us look at the benefits of an investment calculator:
- Financial Visibility: Investing can be an intimidating process for many, since there is an abundance of options for people across all income brackets it can become challenging for new investors to navigate through the same. Therefore, an investment calculator is that it allows the investor to map out their ideal investment plan and helps them see the amount they can yield on their chosen investment amount.
- Flexible: Since it is an algorithm-based programme that can be used by anyone, an investment calculator has fields that have to be filled in by the investor to be able to reflect the investor’s returns. A standard ULIP calculator or investment calculator has fields for age, financial goals, current investments, and budgets. Hence is it flexible to calculate investment solutions for all investors?
- Independent: An investment calculator is designed to streamline the process of policy selection by allowing the potential investor to map out their investment expectations in advance, before approaching an investment provider or financial advisor. It is independent and seamless.
- User-friendly: As aforementioned, an investment calculator is designed to be used by anyone hence it is designed to have a very approachable user interface that only requires minimal data entry from the investor’s end and calculates returns on the basis of that data.
- Free of Cost: Consultation with financial advisors to simply navigate through personal details to find an investment plan can be a supplementary cost. An investment calculator can be found on an investment provider’s website, to be used for free.
Having understood the benefits of using an investment calculator before investing, let us understand the benefits of using investing:
- Goal-based Finances: Investment plans are designed to help people become more adept at managing their finances and being equipped with financial literacy that can help them plan their future through ideal investments. An investor is able to fulfil all financial goals such as education, asset purchases, travel and marriages without exhausting their savings.
- Security: Many investment plans and insurance plans are driven towards helping investors prepare for unforeseen situations and expenses in the future by dedicated benefits and payouts for the same. It is a source of great relief and security for an investor and their dependents to know they have financial cover in vulnerable times.
- Capital Growth: Investing is an imperative step if an investor is seeking to grow their personal corpus by exponential margins. Savings cannot help grow money, but allocated investments that grow with the help of interest rates are great instruments to help capital growth.
- Tax Benefits: Investment plans are recognized as essential expenses, hence some of them are eligible for exemption from taxation under section 80C of the Income Tax Act, 1961. Some investment plans for income tax reductions are PPFs, National Pension Scheme, ELSS, and ULIPs.
- The abundance of Options: The investment market is replete with options for people with all requirements, once can use tools such as a ULIP calculator to find their best investment matches.
In order to have the ideal investment plan to help you realize your financial goals, reach out to Max life Insurance to have a deeper look into the workings of the plan best suited to your needs and embark on your journey towards a secure future.