Investing calculator

ROI Calculator

Work out return on investment five ways — simple ROI, date-based ROI, net ROI after fees, taxes, and income, a reverse target solver, and a two-investment comparison. See your gain or loss, the annualized ROI, the investment multiple, an illustrative value-over-time table, and a downloadable Excel report, in any currency.

Transparent assumptions 5 modes Date-based & annualized Gross & net ROI Multi-sheet Excel report

Calculate my ROI ROI formula

ROI ignores risk, liquidity, and timing unless annualized.

ROI (return on investment) = (Final Value − Initial Investment) ÷ Initial Investment. It is the gain or loss as a percentage of what you put in. Add a time period to see the annualized ROI, or use Net ROI mode to subtract fees and taxes and add income for the return you actually keep.

Your inputs

Amount invested

Your initial cost or purchase price.

Amount returned / final value

What it is worth now, or the sale proceeds.

Investment length

years

Leave 0 to skip annualized ROI.

Length unit

ROI result

ROI

45.00%

Positive return

Annualized ROI

13.19%

Per year, compounded.

Investment gain

$4,500

Investment multiple

1.45×

Investment length

3.000 yr · 1,096 days

Invested vs profit

Invested $10,000Gain $4,500

What this means

You invested $10,000 and ended with $14,500, a +$4,500 gain.
Your total ROI is 45.00%, but because this happened over 3.00 years, the annualized ROI is 13.19% a year.
That is an investment multiple of 1.45× your money.

Includes your inputs, results, formulas, value-over-time table, and disclaimer.

Value over time

Illustrative only — not a forecast. It repeats the 13.19% annualized ROI each year to show how the same steady return would compound.

Start $10,000Year 3: $14,500

Investment value and ROI by year
Year	Estimated value	Cumulative gain/loss	ROI to date
Year 1	$11,318.51	$1,318.51	13.19%
Year 2	$12,810.87	$2,810.87	28.11%
Year 3	$14,500	$4,500	45.00%

How to read your result

The headline ROI is a total, lifetime figure — it says nothing about when the money came back or how long it took, which is exactly what annualized ROI fixes: it converts the total return into a steady yearly rate, the only fair basis for comparing investments held for different lengths of time. If you switch to Net ROI mode, compare the gross and net figures side by side — the gap between them is fees, taxes, and any income like dividends or rent, and net is almost always the more honest number for a real decision. In Compare mode, watch for cases where the winner by percentage differs from the winner by absolute profit; the tool flags this disagreement explicitly rather than declaring a single winner, because a higher ROI on a small amount can still mean fewer dollars than a lower ROI on a larger one.

ROI formulas

Simple ROI

ROI = (Final − Initial) / Initial × 100

The total return as a percentage of the amount invested.

Net ROI

Net ROI = (Final + Income − Initial − Costs) / Initial

Counts income received and subtracts fees, taxes, and other costs.

Annualized ROI

Annualized = (Final / Initial)^(1 / Years) − 1

The steady yearly return that compounds to the same result. Same as CAGR for a single period.

Worked example

You invest $10,000 and three years later it is worth $14,500. The gain is $4,500, the ROI is (14,500 − 10,000) ÷ 10,000 = 45%, and the investment multiple is 1.45×. Because it took three years, the annualized ROI is (14,500 ÷ 10,000)^(1/3) − 1 ≈ 13.19% a year — the figure to compare against other investments held for different periods, since the 45% total return alone says nothing about how long it took to earn.

Assumptions

ROI uses the figures you enter — the calculator does not fetch live prices, fees, or tax rates.
Annualized ROI assumes a single amount invested at the start and a single value at the end; it does not model staged contributions or interim withdrawals (use IRR for those).
Decimal years in date mode are computed as the exact day count divided by 365.25.
The value-over-time table is illustrative: it repeats the calculated annualized ROI each year and is not a forecast.

Limitations

ROI does not measure risk, volatility, liquidity, or the effort involved.
Taxes, fees, and income vary by country, account type, and situation — enter your own figures in Net ROI mode.
For irregular or multi-date cash flows, ROI and annualized ROI can mislead; IRR is the appropriate tool.
Returns are not guaranteed; ROI describes a result on the figures you enter, not a forecast.

ROI is not a forecast. It describes a result on the figures you enter. For projecting future growth from regular contributions, use the investment calculator; for monthly investing, the regular investment calculator.

Frequently asked questions

What is ROI?

ROI (return on investment) is the gain or loss on an investment expressed as a percentage of the amount invested: (Final Value − Initial Investment) ÷ Initial Investment × 100. It is a quick way to gauge how efficiently money was put to work, but it ignores time, risk, and the costs and income that net ROI accounts for.

What is annualized ROI?

Annualized ROI is the constant yearly return that would compound to the same total result over the holding period: (Final ÷ Initial)^(1 ÷ Years) − 1. A 45% total return over three years is about 13.19% a year. It is essential for comparing investments held for different lengths of time, because total ROI alone hides how long it took.

What is the difference between ROI and CAGR?

For a single amount invested with one start and one end value, annualized ROI and CAGR (compound annual growth rate) are the same calculation — both find the steady yearly rate that links the start and end values. “ROI” usually refers to the total, un-annualized return, while CAGR is always annualized. This calculator reports both the total ROI and the annualized (CAGR-equivalent) figure.

Should I subtract taxes and fees from ROI?

For a realistic, “return I actually keep” figure, yes. Brokerage fees, commissions, and taxes reduce your return, so Net ROI subtracts them to show the real result. Gross ROI (price change only) can look better than what you keep. The calculator shows gross and net side by side so you can see the difference.

ROI vs IRR — which should I use?

Use ROI (and annualized ROI) when there is a single amount invested and a single amount returned. Use IRR (internal rate of return) when money goes in and out at several different dates — staged investments, interim distributions, or irregular cash flows — because IRR accounts for the exact timing of every cash flow, which ROI cannot.

Read the guide

For how timing changes what the same total money grows to — the same principle behind why annualized ROI matters — see SIP vs Lump Sum Investment Calculation: What the Numbers Actually Show.

Investment disclaimer

This calculator is for educational estimates only. It is not financial, investment, tax, legal, or professional advice. Actual investment results may vary because of market performance, taxes, fees, timing, liquidity, and risk. ROI measures past or hypothetical return on the figures you enter and does not predict future performance. Verify important numbers and consult a qualified professional before making financial decisions.

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Authorship & verification

Written and maintained by Jay Sudha

Formula and examples verified on 15 June 2026
Educational estimate only