ROI Calculator

Calculate return on investment, profit, net return, and annualized ROI using purchase cost, ending value, income, fees, and time held.

How to Use

  1. Enter your initial investment or total cost basis.
  2. Enter the ending value or sale value of the investment.
  3. Add any income earned and any fees or extra costs if applicable.
  4. Optionally enter the holding period to estimate annualized ROI.
  5. Use Show Work to see the formula path and exact calculation steps.
Investment Snapshot

Live Results

Outputs update in the tool script after valid values are entered.

Waiting for input
ROI
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Net Profit
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Net Return
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Annualized ROI
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Return Level —

Positive ROI means your return exceeded your costs. Negative ROI means the investment lost money overall.

Inputs & Settings

Use total cost and total ending value for the cleanest ROI result. Income and fees are optional.

The total amount invested or spent to acquire the asset or campaign.
What the investment is worth at the end, or what it sold for.
Optional income such as dividends, rent, distributions, or campaign revenue.
Optional costs such as broker fees, repairs, closing costs, or ad spend.
Optional. Used for annualized ROI.
Changes labels and emphasis only. Core math stays deterministic.
Show Work (step-by-step)
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Work should display the exact values used, including optional income and cost adjustments.

ROI Formulas

Standard ROI: ROI = (Net Profit ÷ Total Cost) × 100

These formulas are commonly used for investments, resale, rentals, and marketing campaigns.

  • Net Profit: (Ending Value + Income) − (Initial Investment + Additional Costs)
  • ROI %: (Net Profit ÷ Total Cost Basis) × 100
  • Total Return Value: Ending Value + Income
  • Total Cost Basis: Initial Investment + Additional Costs
  • Annualized ROI: based on the entered holding period, expressed as a yearly return estimate
ROI is a useful comparison metric, but it does not automatically account for risk, taxes, inflation, financing structure, or volatility unless you model those separately.

FAQ

What is a good ROI?

That depends on the asset, time frame, and risk. A higher ROI is generally better, but it should always be compared against risk, time held, and alternatives.

Can ROI be negative?

Yes. If your net profit is below zero, the ROI will also be negative, which means the investment lost money overall.

What is the difference between ROI and annualized ROI?

Standard ROI shows total return over the full period. Annualized ROI converts that return into a yearly rate so different holding periods can be compared more fairly.

Should fees be included in ROI?

Yes. Including commissions, repairs, ad spend, and closing costs usually produces a more honest and useful result.

Is ROI the same as profit margin?

No. ROI compares profit to the money invested. Profit margin compares profit to revenue or sale price, which answers a different question.

Tool Info

Last updated:

Updates may include UI refinement, validation improvements, better share-state handling, and clearer annualized return presentation.