Brokerage Calculator for Delivery
Delivery Brokerage Calculator is for traders and investors of Indian Stock Exchanges (NSE, BSE, MCX-SX). Other useful Brokerage Calculators which are useful for equity, commodity and currency traders and investors are Intraday Brokerage Calculator, Futures Brokerage Calculator, Options Brokerage Calculator, Options Brokerage Calculator for STT Calculation of Options Expiry Date, Commodity Brokerage Calculator with newly added Commodity Transaction Tax, Currency Brokerage Calculator for Indian currency traders.
Delivery Brokerage Calculator
Updated on 15 Nov 2015: Service Tax increase from 14% to 14.5%
Delivery brokerage calculator is added with breakeven calculation to check what will be the price movement required to breakeven (It is basically the price of purchase+ Taxes+ Brokerages). This will help for short term and swing traders to check the delivery breakeven point in case of delivery of stocks.
Users need to enter values in yellow cells like No of stocks purchased (No of stocks sold will be automatically updated to Buy Quantity). Buy Price of the Stock and Sell Price of the stock. Additionally Brokerage charged on each leg of the transaction need to be entered. Although provision is made to modify taxes column, it is not necessary to change them unless there is a change in the tax structure.
Delivery Brokerage Calculator automatically calculates, total profit (Sell Price – Buy Price) without any taxes and brokerage, Total Brokerage, Total Taxes, Total Brokerage and Taxes, Net Profit /Loss after Brokerage and Taxes.
Taxes considered for Delivery traders on stock exchanges are Turnover tax / Transaction charges, SEBI Tax, Service Tax (Service tax is levied on Brokerage and Turnover Tax), Stamp duty etc.,
While calculating one must note that if minimum brokerage is applicable on trades, this calculator may not show correct values. Some brokers charge minimum brokerage on trades although actual brokerage will be less.
Short term traders should note that usually delivery brokerage will be around 10 times higher than intraday and futures brokerage (For example at the rate of 0.02 for intraday it will be 20 rupees for one lakh where as at the rate of 0.2 it will be 200 rupees per lakh). This causes breakeven point of delivery trades a lot higher which will be a great hindrance to square off the trades. If risk profile of traders allow them to trade in futures it is better to take positions in futures (Please remember there is a possibility of substantial loss in futures due to high leverage). One can notice this difference in total taxes and brokerage when compared the results in intraday brokerage calculator and delivery brokerage calculator.
See the image and explanation below to understand it better.
To understand how substantial the difference for traders in intraday/futures and delivery consider this example. If a trader buys 50 shares at 6000 rupees and takes delivery and sells next day (BTST??), he need atleast 43.62 rupees move to just breakeven. Now let us conisder a trader who buys same 50 shares at same price of 6000 rupees (Provided the stock is available in futures), when he sells next day he needs just a breakeven point of 4.83. See the difference of 43.62 break even point (You can see this calculation directly in delivery brokerage calculator) for delivery trader in stock and 4.83 for futures trader.