Life can bring you a financial setback without any alarm or pre indication. That is when a person gets caught up on how to manage and cover those casualties. Investment made in the form of structured settlement can prove highly beneficial in the face of injuries and personal loss. They are designed in a manner such that a safety net of money that is given periodically to the plaintiff acts as a means to ensure financial security especially in the face of setbacks and tragedies.
What is a structured settlement calculator?
Many a time’s people face a need of lump sum amount to meet their financial goals faster. In that case selling structured settlements can be a good idea, however before doing so, make sure you calculate the actual worth of your money by using a structured settlement calculator. Whether you want to estimate the worth of your annuity or settlements, there are various types of calculator that will estimate the actual value of your settlements.
Types of settlement calculators
There are various factors that determine the actual worth of your money.This includes the dollar equivalent of your payment amount,number of payments left to be paid and the amount of increase that goes into payments with time.There are basically some conventional calculators like the discount rate and the present value calculator which work on different concepts to estimate the worth of your settlements.
This calculator which helps to estimate the current worth of your structured payments by calculating the “discount rate” which usually varies from 8 to 14 percent depending upon the amount of your invested payments is referred to as the discount rate calculator. Discount rate is the most frequently used metric that is used to calculate the future worth of payments based upon current market rates. While the present value calculator estimates the present amount of your settlements based on market investment rates, thereby letting you know the amount you will receive on selling your settlements.
You can consider using a settlement calculator online as there are many websites which offer free service to estimate the value of your settlements and annuity. Hence, these settlement calculators not only help to estimate a correct worth of our investments but also ensure that we get the best price and profit that could act as a boon in times of personal losses and tragedies.