Household calculator for a loan
It is important to know how much money you have with the family after deducting all fixed costs. This knowledge becomes even more important when you consider a loan for construction finance. If such a loan is to be taken out, the borrower should use the calculator as a preparatory measure.
It is very easy to use because you only have to enter the following things:
- Number of people in the household (adults, children)
- Net income (e.g. wages, salaries, pensions)
- Number of vehicles (e.g. car, motorcycle, camper)
- Vehicle costs (insurance, taxes, TÜV, possible repairs)
- Expenses (rental costs, groceries, credit installments, etc.)
After filling it out, simply click on the “Calculate” button and not only get the total expenditure as a result, but also the sum of the available capital. This could then be used as a mortgage rate.
Income from investments such as shares or funds should not be included in the calculation with the household calculator. They fluctuate widely at times and are therefore not well suited as part of the expected income.
Determine the budget with the household calculator
A household calculator always pays off as an instrument in the planning and preparation phase. Here the expenditure is compared with the income from labor income etc.
Spending is not just a matter of what telephone providers and insurers collect from their accounts each month.
Irregular expenses in particular distort the picture in the household calculator – such as:
- Consumer purchases
- Gifts etc.
Each of these aspects puts a strain on the household budget and leads to a reduction in the monthly budget.
- Banks generally do not require an overview of the individual items in expenditure. In general, the credit institutions expect flat rates per household size.
Household calculator – Realistically assess income
The expenditure is only one aspect that plays a role in the household calculator for the building loan. Of course, the income that a household generates is just as important.
The latter primarily consist of earned income. But benefits such as child benefit or pensions (for example from privately taken out insurance) can also improve the credit side.
Under no circumstances should you expect income to fluctuate widely, including variable salary components or investment income. The latter are a bonus for later special repayments, but in no way a reliable quantity for budget planning with the household calculator.
Other calculators for building and buying a house
- Annuity calculator
- Household calculator
- House purchase utilities calculator
- House price calculator
- Broker formula
- Rental yield calculator
- Renovation calculator
- Repayment calculator
- Interest calculator