<ul data-eligibleForWebStory="true">BigDecimal in Java is a class for arbitrary-precision decimal numbers providing exact control over precision and rounding.It stores numbers as an unscaled value and a scale, ensuring accuracy for small and large numbers.BigDecimal is crucial for financial systems and scientific calculations where precision is paramount.Contrary to float or double, BigDecimal avoids floating-point errors common in quick calculations.BigDecimal supports calculations like addition, subtraction, and division, offering more precise results.Creating BigDecimal objects is typically done using constructors with strings to avoid floating-point errors.BigDecimal methods like add(), subtract(), multiply(), and divide() are used for mathematical operations.When using division with BigDecimal, specifying scale and rounding mode is crucial to avoid infinite decimals.Using compareTo() for comparisons and constants like BigDecimal.ZERO helps in simplifying code.Testing edge cases with BigDecimal is advised for scenarios involving zero, negative numbers, or extreme values.Practical examples, such as calculating sales tax, demonstrate the clean and precise nature of BigDecimal calculations.BigDecimal ensures accuracy in financial applications and critical systems by avoiding floating-point pitfalls.String constructors, explicit scaling, and thorough testing are recommended for effective use of BigDecimal.