The internet offers a free online structured settlement calculator. This online tool provides an accurate estimate of exactly how much a person”s structured settlement amount is valued at. Unlike other companies, this free online method is generally completely reliable and accurate. In addition, the online calculator is so easy to utilize, which makes calculating a settlement payout much easier than it once was.

When a person receives payments from a structured settlement or annuity, they are typically granted periodic payments called annuities. Annuities are paid on a monthly, quarterly, semi-annual, or yearly basis. One common type of structured settlement calculator works with a future payment; the information about future payments is entered in the form of numbers and figures. When a future payment is received, it will amount to the total of all future payments; the more current information there is, the better the value of future payments will be estimated.

Another type of free online Structured Settlement Calculator works with an interest only calculation. In an interest only payment, the value of the lump sum is less than the total of all future payments at the time of the termination. The only difference between an interest only and full payment arrangement is the payment amount. Interest only calculators are useful for figuring out what one can afford to pay out over time, but they do not give an approximation of what the actual sum would be at the point of termination. For this reason, interest only calculators are not as reliable as a true future payment calculator.

An additional type of free online Structured Settlement Calculator is called a lifetime annuity calculator. These calculators calculate the value of future payments versus the value of lump sum payments that must be made at the time of termination. Since life insurance companies offer guaranteed payments throughout the lifetime of the person being insured, it is easy to see why these types of calculators are used.

Other free online calculators use a variety of different factors to come up with dollar amount estimates of structured settlements. These include Average Age of Claim, number of years of exposure to tort laws, and years of experience of the lawyer or law firm that is handling the case. The time until the annuitant will become ineligible for future payments, based on his or her age and activity level, will also be considered. Many lawyers provide free lifetime annuity calculators to their clients. Using these values to estimate future payments allows the client to plan ahead for their golden years.

There are even calculators available on the internet that allow you to plug in your information and get a very good idea of the actual payout amount when you reach legal retirement age. This is critical in determining if settlement payments are still a wise investment for your retirements. It would be irresponsible not to look into the possibility of receiving a large settlement payout when taking the time to calculate your total expenses, future payouts, and even potential life changes. With access to the internet, anyone can have access to a Structured Settlement Calculator.