CALCSLIP

ROI calculator

Total return on an investment, and what it works out to per year.

$
$

Sale value plus any income received

years

Optional. Needed for the annual rate

Result

Return on investment
45%
Gain
$4,500.00
Annualized return
13.19%
Money multiple
1.45×

How this was calculated

  1. Gain

    Returned − invested

    $14,500.00 − $10,000.00 = $4,500.00

  2. ROI

    Gain ÷ invested × 100

    $4,500.00 ÷ $10,000.00 × 100 = 45%

  3. Annualized return (CAGR)

    (returned ÷ invested)^(1 ÷ years) − 1

    (1.45)^(1 ÷ 3) − 1 = 13.19%

What this calculation assumes

  • ROI compares the end value with the start value only. It ignores when money went in or came out during the period.
  • The annualized return assumes the growth compounded evenly every year. Past returns do not predict future ones.
  • Taxes, fees and inflation are not deducted unless you include them in the amounts.

Estimates for information only. They are not financial advice, a loan offer or a guarantee of any return, rate or approval. Lenders and providers calculate with their own terms; check yours before you decide.

The formulas

ROI = (returned − invested) ÷ invested × 100

ROI is the total gain as a share of what you put in. $10,000 that becomes $14,500 is a 45% return.

The same 45% over 1 year and over 10 years are very different results, so the calculator also gives the annualized return, (returned ÷ invested)^(1 ÷ years) − 1, also called CAGR. 45% over 3 years is 13.19% a year.

Questions people ask

What counts as the amount returned?

Everything you got back: the sale value plus dividends, interest or rent received, minus selling costs if you want a net figure.

Why is my ROI different from my broker's?

Brokers often use time- or money-weighted returns that account for when deposits and withdrawals happened. Simple ROI only compares the start and end values.