Retirement Calculator

Your retirement years can be enjoyable if you plan for that phase of life well in advance. This article will educate you about our retirement calculator and how it will help you plan your retirement.  

Retirement planning, explained

Like other financial plans, retirement planning ensures a financially independent and dignified life during retirement years. To achieve financial stability, individuals need a long-term retirement plan that aligns with their future goals. While saving and contributing for the future will help, they should also do proper budgeting and invest in tax-efficient instruments. 

Retirement planning calculator, defined

A retirement calculator is a tool that helps individuals plan for their retirement years. Based on their current monthly spending and their standard of living, the calculator helps users determine the amount they would need to contribute to live a comfortable retirement life. 

The working of the retirement planning calculator

The concept of a retirement planning calculator is simple. It takes into account one’s current monthly expenses and estimates the corpus one would need to build to maintain the standard of living during retirement years. To use the calculator, individuals need to input details like their age, current monthly expenses, retirement goals, and existing retirement fund investments like EPF.

Using the retirement planning calculator

A retirement planning calculator is readily available online and you just need to enter the following details. 

Step 1: Your current age

Step 2: Your current monthly expenses

Step 3: Select your retirement life goals from the options provided

Step 4: Enter your existing savings or investments

How using a retirement planning calculator can help you

A retirement planning calculator offers many benefits to individuals, giving them a clear roadmap for their financial future. Here are some ways in which it can help users.   

Helps in financial planning 

While building a keep-safe fund for the future is a good practice, it will fall short if you don’t factor in inflation. The calculator assists individuals in planning their future according to their financial needs.

Calculates your expenses into the future

The amount projected by the retirement planning calculator automatically considers the increase in inflation. The calculator assesses the current monthly expenses of an individual and provides the future value of their current expenses. This helps users save or contribute to the retirement corpus accordingly.

User-friendly 

The retirement calculator has a very user-friendly interface. The user just needs to input details such as age, monthly expenses, retirement goals, and saving/investment avenues.

A trusted friend

Besides projecting a financial roadmap for your retirement needs, the calculator will provide error-free results. Thus, it is a reliable tool you can trust. 

Conclusion

A retirement planning calculator is an important financial tool for an individual planning his retirement. It is easy to use and is widely available on several websites such as Lemonn. The calculator also eliminates manual computation and leaves no room for error. It helps users estimate the amount they will need for their retirement. Overall, the calculator enables individuals to make informed financial decisions.