With the advancement of technology, managing finances has become easier nowadays. Several free online tools are now available that can effectively assist individuals to keep track of their income, expenses, investments, financial goals, etc. systematically.
Taking aid from these financing tools, individuals can calculate and estimate their financial liabilities efficiently. For instance, an income tax calculator 2020 helps in calculating tax and specifies the amount of tax one needs to pay at the end of FY20.
Online tools for personal finance management
Individuals require bearing different financial liabilities throughout their life. For example, to gather funds for purchasing a property, one avails a home loan which they need to repay. Similarly, they also need to pay income tax on their taxable income, etc. In each of these cases, it is necessary for them to calculate the amount they are going to pay during a particular period. It is where these online free tools come into play that saves a lot of time and makes people aware of the nitty-gritty of these aspects.
Income tax calculator
The Income Tax Department of India offers several online calculators and other useful tools so that the taxpayers can get a fair idea about their yearly tax liabilities. Government levies taxes on its citizens’ taxable income to carry out different activities for the welfare of the public. As a result, individuals need to pay taxes within the due date every year.
Hence, with the help of a valid income tax calculator, they can estimate the tax amount by providing some essential information like income, HRA exemption, and income tax slab for AY 2020-21.
Home loan calculator
EMI is one of the vital components of loans. You need to repay the borrowed amount through equated monthly instalments. Primarily these EMIs are fixed by the lenders, and the borrowers need to pay them within the due date every calendar month. Both the principal amount and interest need to be paid via EMIs.
Nonetheless, reputed financial institutions provide an online home loan EMI calculator so that the borrowers can get a glimpse of how much amount they need to pay each month in detail. For that, the borrowers have just to enter the loan amount, tenor and interest rates and the estimated EMI will be calculated instantly. These financial institutions also offer home loans up to Rs.3.5 crore with flexible tenor and competitive interest rates.
Nonetheless, they provide pre-approved loan offers on several financial products like home loans, loan against property, etc. You can check your pre-approved loan offer by entering your name and phone number instantly.
In order to maintain a sound financial standing one needs to plan their retirement beforehand. Due to this, people are now inclining towards investing a lump sum amount while they are still earning. However, a retirement calculator helps individuals largely to structure their retirement Plan.
Unlike income tax calculator, this online free tool tracks down the continual investment pattern of a recurring deposit. Nonetheless, investors often fail to calculate the exact return of this investment. However, a recurring deposit calculator enables them to derive the exact amount they would get from this investment.
Things to remember while using a virtual personal financing tool
Though these virtual financing tools are useful to forecast different financial calculations, users need to be careful while using them. Following are some of the tips that you need to remember.
- All the results that these tools display are not always accurate. Hence it is advised that you consult with a professional financial advisor or tax consultant for genuine insight.
- You need to have exact information about each financial product. For instance, besides using a home loan EMI calculator, you should also know about significant home loan fees and other charges to assess your true liabilities from such credits.
Nonetheless, apart from taking help from these online free tools, you should also contact the financial institution directly and read the terms and conditions minutely to avoid any discrepancy in future.