What excel formula should i use as a financial planner

Finance chiefs from numerous large companies like Adobe are making a determined effort to move their teams and processes away from spreadsheets and towards more robust and dependable systems. This is likely to become more pronounced across more industries over time. The question is, what exactly are these systems and what is the best way of transferring complicated financial processes to them? Kepion is one of the more popular solutions in this space. It is a cloud-based modelling platform which offers a unified, scalable and secure financial planning and reporting tool.

Directly integrating with a general ledger and delivering real-time data, it provides customisable visualisation options powered by high-performance cloud analytic and processing services.

The Microsoft Power Platform is another increasingly popular choice. The Power Platform is essentially a set of business tools that allow non-technical business users can create ad-hoc business tools such as apps, visualisations and process automations.

Because the entire platform follows a common data model with a high standard of security baked in, anything created with it manages to avoid falling into the realm of Shadow IT. Migrating from your existing collection of systems and tools to Kepion may not always be a straightforward path.

Depending on specific organisational needs, stakeholders and requirements, the journey out of shadow may take a number of different forms, especially if you are using a range of tools that need to be consolidated and integrated in a data warehouse. Organisations are increasingly turning to the services of third party data analytics agencies in order to guide them through the challenging process of consolidating all of their financial data and moving it to next-generation enterprise financial solutions.

Return to Blogs. When we have the nominal interest rate and the number of compounding per year, it becomes easy to find out the effective rate. Payment needs to be paid with a nominal interest rate Nominal Interest Rate Nominal Interest rate refers to the interest rate without the adjustment of inflation.

It is a short term interest rate which is used by the central banks to issue loans. Payment needs to be paid with an effective interest rate Effective Interest Rate Effective Interest Rate, also called Annual Equivalent Rate, is the actual rate of interest that a person pays or earns on a financial instrument by considering the compounding interest over a given period. Through the SLN function, we can calculate depreciation via a straight-line method.

In excel, we will look at SLN financial function as follows —. It has been depreciated in the Straight Line Method Depreciated In The Straight Line Method Straight Line Depreciation Method is one of the most popular methods of depreciation where the asset uniformly depreciates over its useful life and the cost of the asset is evenly spread over its useful and functional life.

The machinery was used for 10 years, and now the salvage value of the machinery Salvage Value Of The Machinery Salvage value or scrap value is the estimated value of an asset after its useful life is over. Find depreciation charged per year. You may also look at Depreciation Complete Guide Depreciation Complete Guide Depreciation is a method of accounting for the costs of any physical or tangible asset over the course of its useful life. Its value indicates how much of an asset's worth has been used.

Hi dear you are doing good job making people financially literate. Hope this clarifies the same. Thanks a great deal for all you assistance herein and appreciate all the knowledge tank we are getting herein. This blog is really awesome, the list of financial functions in excels which you have mentioned has helped me a lot and were very useful for me in practical situations.

Thank you so much for sharing this blog. Abc Medium. Abc Large. Getty Images MS Excel provides a number of functions that have major applications in personal finance. Personal finance management focuses on five core areas—income, spending, saving, investing and protection.

Financial planning experts evaluate the risk and rewards associated with different investment options and guides individuals towards their desired goals, both short-and long-term.

Managing personal finances involves a thorough understanding of the statistical and mathematical concepts that help assess the performance of various investment options. Calculations and number crunching are an integral part of the planning exercise. Planners have to take into account the varying income-expenditure patterns, age profiles and risk profiles of individual investors while devising investment plans. MS Excel provides a number of functions that have major applications in personal finance.

Some core concepts that can be worked out using Excel include the time value of money, compounding and discounting. Excel functions come in handy when calculations involve an one-time investment or when the investments are spread over a period of time. Your legal guide on estate planning, inheritance, will and more. ETPrime stories of the day Logistics How sustainable supply chains helped companies stay afloat in the pandemic. Subscribe to ETPrime. Browse Companies:.

Find this comment offensive? This initial exercise is crucial and must be tested, otherwise, as the old saying goes, garbage in, garbage out. After that, the data will transfer correctly. The process can be repeated as many times as needed. In the example below, the table ranges from A1 to B The formula on B13 brings in the value from the table that matches the name on A Notice the row headers must be in the left-most column for this formula to work.

At the next screen, click OK and then perform the actions you want the macro to do. Then select your macro from the list and click Edit. The example shown is a simple copy and paste command, but the Macros can be used for much more complex tasks.

The key distinctions between them are:. INDEX requires you to define the range where the result will be found, i. Adding zero at the end forces a perfect match. This requires matching two values instead of one. You will need an advanced formula to match more than two values. So why not automate these processes wherever possible? Here are some of the top use cases for automation:. When you automate routine functions in Excel, you save time and money. With modern software like Vena Solutions , automation is a breeze.

Many organizations have tried to move away from Excel, only to find themselves coming back to it. Why force the finance folks to learn new applications when you can complement Excel with an integrated solution?

The end result is more efficient teams and more fulfilled finance professionals. Excel is here to stay. Move your team from different spreadsheets to the same page with revenue data in one place.

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