Financial calculation widgets – assumptions and disclaimer

Disclaimer
Your privacy and trust is important to us. The calculators do not retain nor share any of your personal data. The calculations provided by the calculators are based on certain assumptions, including the data entered by the user. The calculators do not take into account individual needs or circumstances. The results generated are for reference only and are not intended as, and cannot be as, a substitute for professional financial advice. The IFEC shall not be liable for any human or mechanical errors or omissions in or any reliance placed upon the results; nor shall it be liable for the consequences of any decision or action taken upon or as a result of the information provided by the calculators.

    Assumptions

  • Investment return/ Investment amount/ Monthly investment/ Return rate calculation
    • Interests/returns are compounded monthly
  • Retirement need/ Retiree monthly expenses/ Retiree sustainable period calculation
    • Assume all money use up at the end of the retirement period
    • Do not consider funeral expenses
    • Do not consider estate
    • Inflation and investment return are compounded monthly
  • Credit card outstanding debt payoff period/ monthly repayment amount calculation
    • Annual Percentage Rate (APR) takes into account the interest rate plus any related fees or charges to be paid e.g. handling fee and withdrawal fee, except the annual fee of credit card and late charge.
    • Do not consider credit card interest free period
    • Do not consider credit card annual fees
    • Repayment made on or before the payment due date of each statement or repayment period.
    • Repayment is made at the end of the month.
    • No additional transaction, unbilled instalment or new loan added over the repayment period
    • Minimum payment is based on monthly interest/fees plus 1% of outstanding balance.
    • For the calculation of payoff period, the payment of the final month may be smaller than the monthly repayment amount inputted by the user.
  • Mortgage calculation
    • Minimum monthly income was based on the stress test according to the Hong Kong Monetary Authority. An addition of 3% was added on the existing interest rate for calculation. The monthly repayment amount should not be over 60% of homebuyer’s monthly income.
    • 2nd mortgage (if any) is not included in the calculation of the stress test
    • Assume the borrower has no other liabilities.


8 May 2019