Are you looking for planned investments? Maybe it is for your child’s future or you want to secure your family’s life by investing in life insurance.  Whatever your financial goals are, you cannot afford not to have a sizeable savings fund. And when it comes to savings fund, we know it isn’t easy. It is especially challenging when you only have a salaried income to meet your savings goals.

That’s why investment has become crucial these days. Investment can multiply your money and help you reaching your goals faster. In fact, having an excellent investment portfolio is crucial to have a healthy financial life.

But it is important that you don’t go into the investment market without using a reliable investment calculator first. Give us a moment to explain why an investment calculator is so important for your investment portfolio.

7 Reasons Why an Investment Calculator is Important

While there are many benefits of using an investment calculator, the following are the 7 significant reasons an investment calculator could be a game changer.

1. It is Easily Available

Yes, you have heard that right. An investment calculator is easily accessible from anywhere. You can use it on your computer, iPad, or even your iPhone, and it’s free. These investment calculators use a simple and user-friendly interface, so just about anyone with a smartphone or laptop can use an investment calculator. It provides everything – when it comes to investment estimation an investor may need to know.

2. It Provides Quick and Accurate Results

Various websites promise to provide the best investment advice, but they are either too difficult to follow through or don’t make enough sense to a person who lacks investment literacy. However, investment calculators provide effective, quick, and accurate results without unnecessary fillers. With it, you can quickly calculate critical financial metrics such as premium amount, total returns, and the investment tenure. All you need to do is punch in crucial details such as the investment tenure, the type of investment, and the amount, among other things.

3. Helps You Decide Which Investments to Go For

The estimated return of investment is a crucial factor in every investment, and the investment calculator allows you to calculate the estimated return of various investments. Based on this info, you can make a sound investment, having some semblance of how it will turn out. All you need to do is change specific parameters, such as investment amount and tenure, and your returns will vary drastically. Such data will help you make investments that provide the maximum returns.

4. Helps You Make a Rational Decision

An investment calculator will allow making specific calculations ahead of time to foresee potential investments that you should keep an eye on. It would also show you the ones that you need to avoid, allowing you to make a rational decision on where to invest.

5. It Teaches the Benefits of Being an Early Investor

Early investments certainly have their advantages. Suppose you make a small investment in a new tech startup. Chances are that the company may take off in a few years, transforming your small investment into a large corpus. It could be a small project where you make a series of small investments that later change entirely. But which ones should you go for? That’s where the investment calculator comes in. Combine the data of an investment calculator with some insider knowledge, and you may just hit gold.

6. Helps You Better Align Your Financial Goals

You can better adjust your financial goals if you have a solid understanding of which investments provide the best return on investment, and that is only possible with an investment calculator. Just make sure you do substantial research before you invest.

7. Importance of Time Period

In the financial world, the time period refers to the amount of time needed to churn out a good return after you invest. The best investment plan in India would be the one where you get the best returns in the shortest time. So, you must calculate the time period required to get a return on investment. An investment calculator can be of great help in this regard.

How To Use an Investment Calculator Online?

Follow these steps to use an investment calculator online:

• Visit the site of an online investment calculator.
• Fill in all the basic details that it asks.
• Select the investment period.
• You can also mention if you have any other investments. It can certainly influence the results. So, choose the right one.
• Finally, click the Calculate button, which will show you the results.

An investment calculator can help you make the best investment plan in India. With it, you calculate almost everything before you invest, including critical factors such as annual return, absolute return, and time period, among other things.