ROI Calculator
Calculate your return on investment in seconds. Get ROI percentage, net profit, and payback period for any investment. Free, no signup required.
Investment Details
Results
Enter investment & return to see results
How to calculate ROI
Enter what you invested and what you got back, and add a duration for the yearly rate.
- 01
Start in Simple mode
Enter what you put in and what you got back in total. Add a duration in days, months or years to get an annualised figure and a payback period as well.
- 02
Use Advanced for revenue, costs and inflation
Advanced mode takes revenue and ongoing costs separately, which suits a business or rental, and an inflation rate to show the real, inflation-adjusted return.
- 03
Use Compare for up to three options
Enter each option's investment, return and duration side by side. Annualised ROI is the fair way to compare options that last different lengths of time.
Worked example: ₹2 lakh that became ₹3 lakh
ROI is (return − investment) ÷ investment × 100. Invest ₹2,00,000, get ₹3,00,000 back three years later, and the profit is ₹1,00,000, an ROI of 50%. That's the total over the whole period, not a yearly rate.
To compare it with a yearly figure such as an FD rate, the tool annualises it: (3,00,000 ÷ 2,00,000)^(1 ÷ 3) − 1 = 14.47% a year. The payback period, 24 months here, is the time the returns take to add up to the original ₹2,00,000 if they arrive evenly over the 36 months. With 6% inflation in Advanced mode, the real gain over three years drops to about 25.9%, because ₹3,00,000 in three years buys less than it does today.
Why total ROI can mislead when periods differ
A bigger ROI isn't always the better investment if it took longer. Here are three options as the Compare mode would show them:
| Option | Duration | Total ROI | Annualised ROI |
|---|---|---|---|
| A: ₹2,00,000 → ₹3,00,000 | 3 years | +50.00% | +14.47% a year |
| B: ₹1,00,000 → ₹1,30,000 | 1 year | +30.00% | +30.00% a year |
| C: ₹1,00,000 → ₹1,80,000 | 5 years | +80.00% | +12.47% a year |
Option C has the highest total ROI at 80%, but it took five years, so it grew more slowly than A or B each year. Option B's 30% in a single year is the strongest growth rate. If you could reinvest each year, B would come out well ahead. Always compare annualised figures when the time periods aren't the same.
Where ROI comes up
Judging a marketing campaign
₹50,000 of ad spend that brought in ₹1,20,000 of sales is a 140% ROI on revenue. Use profit rather than revenue if you want the real return.
Checking a share or fund you sold
Enter the total you paid, including brokerage, and what you received. The annualised figure lets you compare it with an index fund over the same period.
Weighing an equipment purchase
Use Advanced mode with the extra revenue the machine brings in and its running costs, to see if it pays back within its working life.
What ROI leaves out
- When the money arrives. ROI treats returns at the end of the period. Investments with regular payouts are better judged with IRR or XIRR in a spreadsheet.
- Tax. Capital gains tax and income tax reduce the return you keep. Enter after-tax figures if you want an after-tax ROI.
- Risk. Two options with the same ROI can carry very different chances of losing money.
- Payback assumes even returns. If most of the return comes at the end, as with a property sale, real payback is much later than the figure shown.