Finance Tools
Finance tools are applications, methods, or instruments that help individuals or businesses manage, plan, analyze, and control their financial activities. These tools support better decision-making related to saving, investing, budgeting, borrowing, and forecasting.
Types of Finance Tools
SIP
SIP (Systematic Investment Plan) is a method of investing a fixed amount regularly (e.g., monthly or quarterly) into a mutual fund scheme, typically equity or debt-based.
Lumpsum
A Lumpsum is a one-time investment made in a financial instrument, such as mutual funds, stocks, or fixed deposits, rather than spreading the investment over time like in a SIP (Systematic Investment Plan).
SWP
SWP (Systematic Withdrawal Plan) is a financial tool offered by mutual funds that allows you to withdraw a fixed amount of money at regular intervals (monthly, quarterly, etc.) from your investment.
MF
MF stands for Mutual Fund, which is a type of investment vehicle that pools money from multiple investors to invest in a diversified portfolio
SSY
SSY stands for Sukanya Samriddhi Yojana, a government-backed savings scheme in India, designed exclusively for the girl child. It helps parents/guardians save for their daughter’s future education or marriage expenses.
PPF
PPF, or Public Provident Fund, is a long-term government-backed savings scheme in India. It is designed to encourage regular small savings while offering attractive returns and tax benefits—making it ideal for building a retirement corpus.
EPF
EPF, or Employees’ Provident Fund, is a government-managed retirement savings scheme in India for salaried employees. Both the employee and employer contribute a portion of the employee’s salary every month, which accumulates into a retirement corpus.
FD
FD, or Fixed Deposit, is a popular low-risk investment option offered by banks and financial institutions where you deposit a lump sum of money for a fixed period at a pre-determined interest rate. At maturity, you receive the principal amount along with the accumulated interest.
RD
RD, or Recurring Deposit, is a low-risk savings scheme offered by banks and post offices in which you deposit a fixed amount every month for a predefined tenure, and earn interest on it. It’s ideal for people who want to build savings gradually with discipline.
NPS
NPS, or National Pension System, is a voluntary, government-backed retirement savings scheme in India. It allows individuals to contribute regularly during their working years and build a corpus for post-retirement income.
HRA
HRA, or House Rent Allowance, is a component of a salaried employee’s income, provided by the employer to help cover rental housing expenses. It is partially or fully exempt from tax, depending on certain conditions, making it a key tax-saving component under Section 10(13A) of the Income Tax Act.
Retirement
Retirement is the stage of life when a person permanently leaves the workforce, typically after reaching a certain age or financial goal. It marks the transition from earning income through employment to relying on savings, pensions, or passive income for day-to-day expenses and lifestyle needs.
Some Other Financial Tools
- EMI
- Car Loan EMI
- Home Loan EMI
- Simple Interest
- Simple Interest
- Compound Interest
- NSC
- Step Up SIP
- Gratuity
- APY
- CAGR
- GST
- Flat vs Reducing Rate
- Brokerage
- Margin
- TDS
- Salary
- Inflation
- Post Office MIS
- SCSS
- Stock Average
- Loan Eligibility