Understanding the options available in your retirement fund is highly recommended, once you reach the age of retirement or before. One’s mental health and physical health has a determining factor in retirement. Many optimistic people intend to work as long as they are likely to be retired. Most retirees support themselves on pensions and savings. The rising cost of living is a grave concern among the elderly.

There are many online pension annuity calculators available that are easy to operate and within minutes provide you with a summary of the options. Advantages of using online pension annuity calculators:

• Quick to complete (many take less than 10 minutes)
• Anonymous
• Secure
• Save progress
• Printable summary

Smart tip: answer all questions carefully that best reflects your lifestyle, health conditions and circumstances. This ensures you get a quote that is aptly suited to you.

These online calculators project the amount the investor needs to save and the period of saving so that the investor can meet a certain level of retirement expenditure. Some calculators assume a constant, unwavering rate of return. Some also consider the volatility of the investments. The other factors considered are – taxes, social security, pensions, other sources of retirement income and expenditures.

The best pension annuity calculator will tell you:

• How much money you need to save
• The rate at which the savings will grow
• The amount of money you’ll need for your retirement
• Aid you get income for life
• Provide the right asset allocation

bankrate.com has an online calculator that in few simple steps lets you find out the amount of money needed as initial investment, the number of years the investment will generate funds and the sum of money that will deplete the fund in a given number of years.

The calculator available in financialmentor.com helps you identify what your future income might be in today’s dollars. calculator.net also helps you identify the purchasing power of your money in the future. Use the pension annuity calculator that best helps you arrive at the payment amount you’ll receive over a period.