Savings is still the best-known investment fund, and one of the most used in Brazil. The more conservative treat it as the safest way to save money and make it pay, but that’s a subject for another post. But do you know what are the magic numbers that cause the savings values to change over the months? This is the basic information for you to fully understand how the savings simulator works, a facility that allows you to have accurate information about the money you have applied. Check out our full post, and understand how this great tool works, and can still change the direction of your decisions.
How is savings income calculated?
As of March 4, 2012, the basic interest rate (Selic Rate) started to determine the profitability of savings. Savings pay 0.5% per month and 6.17% per year, adding the variation of the TR (Referential Rate), a rate that is updated daily by the Central Bank, to serve as the basis for various types of investments.
The dependency of the Selic Rate is as follows: If this rate is equal to or below 8.5% on the day of deposit, the savings will yield 70% of the Selic + the TR of the day. But if the Selic shows values above that, the yield will always be 0.5% + TR.
Want an example? In January 2015, the TR closed the day at 0.0878%. With Selic hitting 11.75%, as already explained, the savings in this case paid 0.5% plus 0.0878%, or 0.5878%.
If Selic closed at 8.5% or less, the yield would be 5.95% plus 0.0878%, or 6.0378%.
- For applications made up 03/03/2012, the calculation is always done using the base of 0.5% + TR.
Do you understand why raising the Selic Rate makes saving a less attractive investment? If you do not have these indicators in hand, we will teach you how to use the savings simulator, a practical and simple way to know how much your money will yield.
Using the savings simulator
The savings simulator is a very useful tool for comparing this investment mode with others you consider using to make your money work for you. Another situation that is widely used by the fans is to simulate how much they would earn if they did not take a trip at a given time, or even leave the money in savings and choose to rent a property, it makes up for more than the acquisition of it.
Curiosity : The value of the rent of a property varies between 0.5 and 0.8% of the value of this property. There are many investors who prefer to leave the money in savings if this rent is more than rent, of course, than to buy an apartment or house that can lose value over time. Hence the importance of knowing how much the savings will yield, to support your decision.
But let’s get down to business. Calculating your income from the simulator is very simple, even if there are several examples available on the internet. Just fill in the following data accurately:
- Date on which the initial deposit was made
- Date you want to withdraw
- Exact amount of initial deposit
From the information you filled out, using the indicators we previously reported (Selic Rate as appropriate, and TR), the savings simulator will calculate how much you will earn through this type of investment.
The above example is the most common. But for some tools, you will need to use the knowledge gained in our post about the economic indicators used in the calculation of savings income. Some even request the value of inflation in the period, which can be easily found on various websites and daily publications.
Most Popular Examples
- Savers Club
- Brazilian central bank
- Exame Magazine
Did you like our post today, or do you still have questions about using the simulators? Then enjoy the comments below and join in the conversation!
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