Annuities are a popular way to invest your money, especially if you're risk-averse and like the security of having a guaranteed income from your investments. Annuity Calculator for Excel is a simple Excel workbook that can help you determine exactly what you can expect your annuity income to look like.
Annuity Calculator for Excel comes as an XLS file and requires no installation; all you have to do is open it in Excel. Far from being just a spreadsheet full of numbers, the calculator has an attractive layout and enough explanatory text to give even beginners an idea of what's going on. Users enter their starting principal, annual interest rate, years to pay out, payment frequency, payment type, and annual inflation rate. The workbook then calculates a payout schedule that includes the interest earned, payout amount, balance, and cumulative interest. A second workbook page allows users to solve for annual payment, starting principal, and years to payout. An online Help file offers plenty of instructions and even a demo video. As the workbook's disclaimer mentions, the results are only estimates, and you should consult a qualified professional about any financial decisions.
Still, Annuity Calculator for Excel is an excellent starting point for anyone who wants to see how an annuity might fit into his or her financial future. It's free and easy to use, so it's worth checking out, even if you're just curious.