Insurance Rate of Return Calculation

As promised, here is how to calculate annualized returns for insurance policies ( in fact for any investment)
Pre-conditions - You need to have Microsoft Excel or an equivalent spreadsheet tool (unless you are a financial/ mathematics wizard).

1. Open a new work sheet
2. In Column A, list your date of payments (or date of reciepts)
3. In Column B, list your payments (or reciepts). Mark receipts in negative. Example -20000 for payments recieved.
4. Focus on an empty cell and select "Insert" > "Functions" > Financial - XIRR
5. Select all columns containing payments and receipts under Values (Tip - You could click the small button at the end of the "Values" box and multi select all payments/receipts columns)
6. Repeat 5 , this time for all columns containing dates
7. Click OK. Multiply the resulting value by 100 and you have your annualized return (or true return)
8. An example is given below

Happy return calculating..