This is a 28-sheet Excel workbook that has all of the usual time value of money calculators, plus several sheets with most all of the smaller financial tools needed when creating personal financial plans, then several tools for financial planning practice management.

The First Seven Sheets are the Free Financial Calculators

You'll get ALL of these financial tools when you order it, not just select sheets

Free TVM Calculators and Financial Calculators

Most of what's available on free financial calculator websites is also here for free. You can also download the spreadsheet and use them all offline.

It has all of the usual time value of money calculators: Present value, future value, payments, number of compounding periods, interest rate, monthly loan amortizer, net present value, life expectancy, estimated capital needed vs. weekly income needs, gross wage calculators, human life value, final expenses calculator, tax-free yield converter, CD early withdrawal penalty calculators, percent change calculators, fixed annuity income eroder, calculate the true yield of a fixed annuity, rule of 72 calculator, and more.

Free 360-Cash Flow IRR Calculator

Calculate internal rate of return to five decimal places based on a series of up to 360-cash flow periods.

It has a column where you enter cash flow dates and then it gives the bottom-line rate of return results as is, and also compounded annually. This is used for determining an overall rate of return on an investment with unequal cash flows.

Free Compound and Simple Interest Rate Comparators

Compare the growth (or shrinkage) of money given three different compound annual interest rates.

It has an additional column for calculating simple interest; and another is a compound interest rate column that has a year-by-year manual override (so you can have a different rate of return every year).

You can also add new money every year.

It has two graphs.

Free Compound Interest Rate Converter

This calculates differences in periodic interest rates given different compounding periods. It displays a total of 15 interest rates given one input.

This is most useful when taking out bank loans and you want to ensure they're not trying to pull any shenanigans by putting compounding periods less than annual into your contract. So if you think you're getting a loan at 10% APR, then your contract fresh off the printer ends up saying 2.5% quarterly the moment before you sign it, then you're getting ripped off, because 2.5% compounded quarterly is really 10.4% APR. This simple banking scam has been going on a thousand times every day since the beginning of time.

Long-term Cost of having a "Family Ruining Monster" in Your Household

Financial advisers can use this money calculator to "find hidden money to invest," when the family budget says there's plenty of money (but everyone knows there's really not).

After doing a detailed family budget, if it doesn't match reality by never adding up right, then this is usually the reason why. The family-ruining monster just "forgot" to account for their habits.

Most everyone has a "family-ruining monster" in their home. You know, the one that won't quit smoking, drinking, gambling, buying useless trinkets, the list goes on. We have one too. Her response to the decades-long whining about the $10 per day on cigarettes, $10 spent per day on Keno, and $25 per week on useless trinkets is, "Oh shuuuuut uuuuup! It's only a few bucks here and there! Leave me alone!!!" Well, these $700 per month habits add up to major bucks over time - enough to make or break a family, prevent kids from going to college, and enough to fund retirement.

This is the only money tool that does the job quickly and easily. Now you can prove the true long-term costs of your family-ruining monster. It has 20 graphs to show the actual long-term impacts in several different ways.

Free Cost of Raising a Child Calculator

Input basic life expenses and see how much a child will cost each year, total for each expense category, grand total, and net present value (for each expense category and grand total NPV).

The grand total net present value number displays how much money it would cost today to fully fund a new child. It's usually much more than you think.

Here's an Interesting article that goes with this unique financial tool.

Free Renting vs. Buying a Home Calculator

This is the most comprehensive, flexible, and detailed "Rent vs. Own a Home" calculator ever created. Homeowners prepared to be shocked! The devil is in the details, and the more details you account for, the more you'll be surprised about how renting is far from the "throwing your money away" deal everyone says. We're not sponsored by the National Association of Real Estate Brokers, so this is the only money calculator where you can see the truth for free.

Read an article about 20 hidden home ownership costs (it didn't mention radon gas, or a few other things, so there's much more than the twenty items listed).

This is the end of the free financial calculators. The financial tools that follow only function after purchase.

Financial Planning Practice Valuation Calculator

This financial calculator covers most of the bases when you want to estimate how much you may be able to sell your financial advisory practice for today - without having to either do massive amounts of research, or hire an expensive firm that specializes in this market.

You just input estimates of your gross incomes, how these will change in the future, how much of a selling-out haircut you'll take; and then input an estimated range of multipliers, and it shows you the bottom-line valuation.

This is the only financial planning tool of its kind you can buy for "a few bucks," and then play around with the numbers all you want to, without having anyone else involved.

Just a reminder that you get all of these financial tools when you buy this, not just the practice valuator. It's one huge workbook, with 28 spreadsheets.

25-Year Dollar-Weighted Rate of Return Calculator

This is a simple, but comprehensive, investment portfolio IRR calculator that shows the rate of return each year, and averages for multiple years - considering all of the unequal monthly cash flows that happen in the Real World: Dividends, capital gains, spent withdrawals, taxes on them, and contributions. All that's needed is to input end-of-month account values and how much money went in and out of the accounts.

It uses the dollar-weighted rate of return methodology (AKA internal rate of return, or IRR) and then displays pre-tax and after-tax IRRs for all 25 years.

You can change each tax rate every year, and have different tax rates for each type of distribution.

This financial tool will also calculate investment returns for sold investments, so you can determine IRR since you bought them years ago.

It also adds up all of the monthly cash flows so you can see what the annual totals are.

It's useful for tracking one mutual fund, or complex portfolios from numerous accounts / brokers. It works well for investors that just want to input data from their multiple monthly statements, and see an estimate of how well all of their investments have done combined.

25-Year Time-Weighted Rate of Return Calculator

This financial spreadsheet uses the same concepts and has the same features as the previous sheet, but using the time-weighted rate of return methodology.

The time-weighted rate of return method of calculating investment returns is the most accurate because it ignores the distorting effects of portfolio cash flows (contributions and withdrawals). So it's also the most accurate way to compare the performance of investment managers apples-to-apples. This methodology is used in the CFA Compliant Performance Presentation Standards and all of the expensive portfolio management software programs (e.g., Axys Advent).

It works on a monthly basis, so it's not as accurate as expensive portfolio management software, which accounts for and compounds cash flows daily. You'd have to input portfolio values and cash flows every day, and most investors don't have this data available anyway.

It works well for investors that want to just input data from their multiple monthly statements, and see how everything has done combined. The only other way to do this with any accuracy is to buy portfolio management software, which costs several thousand per year (or you could spend 100+ hours making a similar financial spreadsheet).

We have yet to see any money calculator that performs this function in between this and actual portfolio management software (so your choice is a few bucks, Do-It-Yourself, or spend thousands annually).

Investment Management Fee Calculators for Investment Advisors, with Performance Fees

This is not for consumers or investors (unless you want to audit your adviser).

These money manager fee calculators are the same as sheets 14 - 17, but have the additional feature of being able to calculate investment management performance fees. These are basically additional rewards for money managers when the investment portfolio performs above and beyond a certain previously-agreed upon level.

Just input a High-water Mark (how much the account has to grow before performance fees start to apply), then a Hurdle Rate (how much as a percent the amount above the High-water Mark has to be before performance fees apply), then the amount of performance fees.

It then calculates how much the advisor charges the client, both for regular investment management fees and the additional performance fees.

Investment Management Fee Calculators for Investment Advisors

This is not for consumers or investors (unless you want to audit your adviser).

These money tools help investment advisors working on a fee basis, calculate how much to charge their clients to get paid.

Some advisors have to manually tell their custodian how much in fees to deduct from client cash accounts, so they can get this amount paid to them on a periodic basis (usually quarterly). This money tool will do that quickly and easily.

Just input your breakpoints, fees, and account values and it totals everything up and displays the bottom-line amount you're looking for (annually, quarterly, monthly, weekly, and daily), on a client-by-client basis, for up to 500 clients.

Then it totals everything, so you can see how much you're making (or estimate how much you will or could be making).

It has five, four, three, and two tier schedules for advisers with sliding scales.

It has input fields for names, account numbers, and account values. Here you can just reference this data from another source once, then everything will be semi-automatic from then on when you do your downloads.

If you have to do this manually, then this will save you tons of time, and will more than pay for itself the first time you use it.

Inflation Adjusted Income Stream Generator

This financial spreadsheet is a unique money tool created out of necessity. It's the same thing as payout method #3 on sheet #10 on the current RWR retirement software demo, but stand-alone.

This retirement withdrawal calculation method automatically answers the question, "What's the most retirement withdrawal I can take out of this investment every year, have this retirement income stream keep up with inflation every year, and have it last until I'm 100 years old?"

You just input the year it starts to pay out, a life expectancy age, an inflation rate, an assumed rate of return, and it automatically figures out the payments.

So if you have an investment account that needs to last until a certain age, then this will estimate how much you can safely withdraw annually, given those three assumptions (rate of return, inflation, and ending age).

You can also adjust the inflation rate up to account for an average tax rate (if you want to see the payments gross of taxes).

Portfolio Yield and Paycheck Calculator

For up to 100 investments, it calculates: The income / dividend yield on each investment; how much income the total portfolio will produce on a daily, weekly, monthly, semi-annual, and annual basis; the overall annual portfolio yield, and how much as a percent each investment is of the total portfolio.

So it basically allows you to input all of your investments, then estimate how much paycheck everything will produce when combined.

Customers have said they found this financial tool to be sufficient to model bond ladders and bond laddering strategies.

Age 70½ IRS Required Minimum Distribution Calculators

If you have an IRA, or similar tax-qualified retirement plan, where you were able to get tax deductions when you contributed money into the plan, then the IRS wants you to pay those tax savings back when you liquidate.

Some investors let their IRA's grow without taking any withdrawals from them, hoping to escape this taxation forever. So the IRS requires investors to start taking distributions in the year they turn 70½. All of the amounts distributed are then usually subject to ordinary income tax rates. Investors can take more out, but not less than the minimum annually, without incurring tax penalties.

The IRS publishes tables on their website on how to calculate these minimum withdrawal amounts. The account balance is just divided by a divisor that decreases every year, resulting in a higher percentage of the account needing to be withdrawn.

This process goes by several names, but they're all the same thing: MDIB stands for Minimum Distribution Incidental Benefit, MRD stands for Minimum Required Distribution, and RMD stands for Required Minimum Distribution.

For those investors that pass away before the IRA is depleted (at a maximum age of 115), the IRA is passed on to heirs. Then it's subject to similar minimum distribution rules. That's why there are two RMD calculators, one for owners, and one for beneficiaries. The inherited IRA calculator is for calculating the amount of minimum required distributions only when someone has an IRA they inherited from someone else.

These tables were different for male and female, but were replaced by a unisex life expectancy table around 2004. So if you see MRD tables for male and female, they're very obsolete, and shouldn't be used.

These future MDIB amounts are just estimates, so even though it calculates far into the future, the actual annual minimum distribution has to be determined using actual values on an actual date. The future numbers are just to calculate estimates for input into retirement planning software. These estimated amounts are shown for each year up until an advanced age that the IRS assumes you will pass away at (currently age 115).

Most qualified plan custodians will do this for you, but only when it actually happens. Errors in their work do occur. This calculator can serve as a check on their work (so you won't get penalized for not taking enough out).

IRS 72(t) IRA Distribution Calculators

72(t) is the section of IRS Code that governs how an investor can withdraw money out of tax-qualified plans, like IRAs, before the normal distribution age of 59½, without having to pay premature distribution penalties.

Before this code change, investors that wanted or needed to retire before age 60 were penalized unfairly. So in 2002, the IRS made exceptions to these premature distribution rules in Section 72 of the code, Part "t".

These rules make it unfeasible for investors to just tap into their retirement plans willy-nilly because they either need the money to pay for something, or want to use it up too fast, then be left with nothing later in life. So this was a compromise that suited all parties. So in a way, 72t works the opposite way MDIB does, because it governs maximum distributions too.

There are three calculation methods in the code to avoid the 10% early distribution penalty tax in section 72(t). These three methods are not the only ways to qualify for these exceptions, so the Inflation Adjusted Income Stream Generator would probably also qualify if you set the ending age to 115.

To make a long story short, all the IRS requires is that you start making withdrawals using "substantially equal periodic payments over your life expectancy;" and thus are not withdrawing "too much," nor too little; and are always paying taxes on this income annually.

This allows investors to retire before age 60 and receive retirement income from their tax-qualified retirement plans, without being penalized. This income is then usually taxed at ordinary income rates, but the point is that there are no 10% penalties (unless you withdraw more than the calculated amounts).

Even though the IRS will allow most ways of withdrawing "substantially equal periodic payments," they publish three set formulas as guidelines. Using the formulas given, these three qualified plan retirement income distribution calculators were constructed:

Life Expectancy Method: The end of the last year’s balance is divided by a life expectancy divisor, which goes down every year, so the required payments escalate to the point that all of the IRA is distributed over the investor’s lifetime. Of the three methods of doing 72(t), this will result in the lowest annual distributions from the IRA.

Fixed Amortization Method: The same story applies as above, but the formula is different. A time value of money formula is used, with the same life expectancy divisor, end of the last year’s balance, and an assumed interest rate. This method will usually result in the highest annual distributions.

Annuitization Method: This also has the same story as above, but this method uses an actuarially determined annuity factor, so be careful. You can get examples of these rates from the IRS website. This produces about the same annual distributions as the amortization method, but just a little less. The main difference is distributions are more level over time than the other methods.

Social Security Calculators

There are six retirement calculators that compare and help you decide when to start collecting Social Security benefits.

Just input your own PIA data (monthly benefits in dollars), using your actual benefit statement, and compare annual cash flows and estimated ending investment account values, between starting benefits at ages 62, 67, and 70.

It then estimates future PIAs, present values, future values, draw downs on side-investments, and various other Real World factors in the scenarios.

This debunks the myth that you should wait as long as you can just because "benefits go up." You can read about this classic debate, and how this retirement tool finally resolves it forever, on the Social Security analysis page.

Employee Stock Option Calculator

This is a superior personal finance calculator to most of the free online stock option calculators, but not to ones that cost real money.

It calculates most all of the numbers investors want to see. It has a ten-year window and works on a quarterly basis. It allows you to see the before- and after-tax value of all of the options combined, less options already exercised.

A fuss initially was made, then nobody cared (interest in stock options was an 90's thing), so making it perfect was abandoned. So if you want to help, you'll get free money software as a reward.

Employee Golden Handshake Calculator

This Golden Handshake Calculator is the one and only employee benefit tool you can buy that will calculate the present value of a Golden Handshake offer from your employer. This is the awesome deal where they try to bribe you with an immediate huge lump sum payout to quit your job

This financial calculator can also be used to compare job offers, deciding whether to go self-employed, take a 1099 "independent contractor" job; and by employers to calculate the present value of employees in general. So you can use it to compare all kinds of employment offers and other similar deals.

Just input the basic parameters of your deal, and in a few minutes it will compare all money coming in with all money going out, to give you a bottom line to evaluate before you sign off on such a risky and permanent deal.

It has all of the usual annual manual override columns, so you can model your situation exactly in as much detail and accuracy as you want to.

Average Tax Bracket Calculators

All four versions of Average Federal Tax Bracket Calculators are here: Single, Married Filing Jointly, Married Filing Separately, and Head of Household.

All you do is input your gross income, exemptions, deductions, and it estimates how much as a percent in Federal tax you're paying. This is just about the only calculator you can buy that performs this function so easily.

Using marginal tax rates is not correct when inputting global tax rates into retirement and financial planning software. So a simple and easy way to determine average / effective Federal tax rates needed to be invented (for input into retirement planning software). These are the only tax calculators that do this job.

This is useful for generating input data that goes into financial / retirement planning software. Because these programs are designed to take your total situation into account (income from all sources), and not just the additional (marginal) income from an investment, using marginal tax rates is not correct, and substantially overstates taxes due, especially if you're retired. Average is the only way to get Real World results.

Taking the total amount of Federal taxes you actually pay, and dividing that amount by your gross income also finds your average Federal tax bracket. People in 28%+ marginal brackets are surprised to find that their average bracket can be under 15%. In other words, less than 15% of their gross incomes are being paid in Federal taxes.

This tax calculator does not account for state, Social Security, Medicare, Local, nor other taxes.

Convertible Bond Calculators

This is an array of all of the common convertible bond calculators. Everything everyone asked for is here, so if you can think of any other interesting convertible bond calculators, then if we decide to make them, you'll get this whole financial tool spreadsheet for free.

Preferred Stock Yield to Maturity and Yield to Call Calculators

Input up to ten preferred stocks and calculate yield to maturity and/or yield to call on each one. Everything everyone asked for is here, so if you can think of any other interesting preferred stock calculators, then if we decide to make them, you'll get all of these financial tools here for free. Will handle yields from 2% to 35%, and is accurate to the third decimal place.

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To download the demo, click on the link below, and then choose "Save (Target) As..." to save to your hard drive. Then find and open with Excel.
Answers to frequently asked demo questions and how to use demos.

Be sure to see the sheet that shows what colors should look like.

Download the Free Financial Tools Demo

It helps to read the directions as you look at the demo

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