This page explains how PlanMyReturns calculators compute results and what assumptions are used. It is meant to give clarity on the logic behind the tools so you understand how estimates are generated and what they represent.
All calculators are educational and planning tools. They help you compare scenarios and plan outcomes based on assumed inputs. They do not predict real-world results or guarantee anything.
The approach here is consistent across all categories: clear formulas, defined assumptions, and no hidden variables. Each category below describes how calculations work and what is assumed. This helps you interpret results and choose correct inputs.
Global Assumptions Used Across All Calculators
Unless a specific calculator states otherwise:
- Inputs are accepted as provided and remain constant throughout the calculation.
- Payments, contributions, and EMIs are made on schedule with no missed or late entries.
- Interest, growth, tax, and rate assumptions are based on current rules or standards where applicable.
- Future changes in law, tax slabs, scheme rates, or market returns are not included.
- All outputs are rounded to the nearest rupee.
Investment and Wealth Calculators
These tools estimate the future value of investments based on user inputs and standard financial formulas.
SIP, Lumpsum, and Goal Returns
- SIP Calculator
Assumes monthly contributions at the start of each period with monthly compounding. Formula used:
FV = P × [ ((1+r)^n − 1) / r ] × (1+r) - Lump Sum Calculator
Assumes a single deposit at the start with annual compounding. Formula used:
FV = P × (1+r)^n - ELSS Calculator and Stock Average Calculator
Use standard investment return logic based on inputs. Market returns are not guaranteed. - Crorepati Calculator and FIRE Calculator
Build on the same assumptions with lifestyle or retirement goals factored in.
Savings and Small Savings Schemes
These tools follow official compound interest rules for fixed income or government schemes.
- Fixed Deposits & Recurring Deposits
FD Calculator and RD Calculator assume standard compounding as per most banks. - Government Schemes
PPF Calculator, NPS Calculator, SSY Calculator, and EPF Calculator
Use annual compounding based on notified rates. Pension values are indicative, and actual benefits may differ. - Other schemes like Post Office RD, NSC, MIS, SCSS, and KVP follow the respective official compounding and payout schedules.
Loans and EMI Tools
Loan tools follow standard financial math to work out EMIs, eligibility, and repayment scenarios.
- EMI Calculators
Tools like Home Loan EMI Calculator, Car Loan Calculator, Personal Loan Calculator, Education Loan Calculator, Business Loan Calculator, Gold Loan Calculator, and Agricultural Loan EMI Calculator compute: Formula used:
EMI = P × r × (1+r)^n / [(1+r)^n − 1] Where P is principal, n is number of monthly payments, and r is monthly interest rate. Fees, insurance, taxes, or other add-ons are not assumed. - Loan Prepayment & Overdraft
Loan Prepayment Calculator
Applies prepayment directly to principal and recalculates remaining tenure or EMI. No foreclosure penalties assumed. Home Loan Overdraft Calculator models how an overdraft affects interest cost. - Loan Eligibility
Loan Eligibility Calculator estimates borrowing capacity based on income, obligations, interest rate, and tenure. Final lender approval may vary.
Tax and Salary Calculators
These tools follow current tax rules and statutory formulas.
- Income Tax Tools
Income Tax Calculator and Marginal Relief Tax Calculator compute tax liability using prevailing slabs and rules. Old vs New regimes are calculated if applicable. - Components and Deductions
HRA Exemption Calculator uses statutory least-of methods for exemption.
TDS Calculator and Advance Tax Calculator estimate liability based on declared income segments. - Other Salary Tools
Take Home Salary Calculator, Salary Hike Calculator, Leave Salary Payout Calculator, and 8th Pay Commission Salary Calculator follow standard payroll and rules. - Gratuity
Calculated by the statutory formula:
Gratuity = (Last drawn salary × 15 × years of service) / 26
Only eligible employees are considered.
Goal Planning and Inflation
Tools in this category use future value formulas adjusted for inflation.
- Retirement Planning
Retirement Calculator estimates corpus needed and savings required. - Life Stage Goals
Education Planning Calculator, Marriage Planning Calculator, Dream Home Calculator, Vacation Planning Calculator estimate corpus based on target dates and inflation. - Emergency Fund
Emergency Fund Calculator bases coverage on monthly expenses and desired coverage period. - Inflation
Inflation Calculator uses compound inflation assumptions over time.
Insurance and ULIP Tools
Insurance tools use published benefit illustrations or standard models.
- LIC calculators (multiple plans) and Saral Jeevan Bima Premium Calculator use benefit schedules and historical bonus assumptions. Actual bonuses and benefits may differ.
- ULIP Returns Calculator estimates returns based on assumed fund performance and charges. Market returns are not guaranteed.
Advanced Portfolio and Real Estate Tools
- Asset Allocation Calculator allocates portions of a portfolio based on user-defined percentages.
- Buy vs Rent Calculator compares opportunity cost against ownership cost using standard financial assumptions.
- Telangana Property Registration Charges Calculator uses state-specific rules for fees.
Pension and Government Welfare Tools
- UPS Pension Calculator, NPS Vatsalya Calculator and various scheme tools follow published contribution and payout rules.
- Welfare schemes like PM Vishwakarma Scheme Loan EMI Calculator, and PMAY 2.0 Subsidy Calculator follow scheme guidelines for eligibility and benefits.
International Calculators
- HSA Contribution Calculator and 401(k) Employer Match Calculator use published limits and match rules. Tax benefits are indicative and jurisdiction-specific.
Disclaimer
All calculators are educational and planning tools. They do not provide financial, tax, or investment advice.
Actual results may differ due to market conditions, policy changes, institution-specific rules, or other external factors.
Consult a qualified professional before making financial decisions.