📊 ROI Calculator
ROI Calculator — Return on Investment
Calculate your return on investment, annualized ROI, net profit, and after-tax return. Compare multiple investments side by side.
ROI = (Gain / Cost) × 100
Simple ROI
Annualized = (End/Start)^(1/t) − 1
CAGR
After-Tax = ROI × (1 − Tax Rate)
After-Tax ROI
📊 Simple & Annualized ROI
💰 After-Tax Return
📅 Date Calculator
⚖️ Multi-Investment Compare
ROI Calculator
Simple ROI · Annualized · After-Tax · Multi-Investment
📊 Basic ROI
📅 ROI with Dates
⚖️ Compare Investments
Investment Values
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Tax Adjustment (Optional)
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Investment Values & Dates
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Compare Investments
Add up to 8 investments to compare ROI and annualized return side by side.
Investment Name
Invested ($)
Returned ($)
Years
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Total ROI
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Annualized (CAGR)
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Net Profit
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Investment Period
Investment Breakdown
Amount Invested$0
Additional Costs$0
Total Cost Basis$0
Amount Returned$0
Gross Profit$0
Tax on Gains$0
Net Profit (After Tax)$0
Investment Breakdown
Initial Investment$0
Net Profit$0
💰 After-Tax Return Analysis
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Gross ROI
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Tax Paid
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After-Tax ROI
ROI Formula and Calculation
Return on Investment (ROI) is the most universal measure of investment profitability:
- Simple ROI:
(Returned − Invested) / Invested × 100 - Annualized ROI (CAGR):
(Returned / Invested)^(1/Years) − 1 - After-Tax ROI:
ROI × (1 − Tax Rate)
Example: $10,000 invested, returns $13,500 over 3 years:
- Simple ROI = 35%
- Annualized ROI = (13,500/10,000)^(1/3) − 1 = 10.6% per year
- After-tax ROI at 20% = 35% × 0.80 = 28%
What Is a Good ROI?
| Asset Class | Typical Annualized ROI | Total ROI (10 yrs) |
|---|---|---|
| US Stocks (S&P 500) | 10% / yr (7% real) | ~159% |
| Real Estate | 8–12% / yr | ~116–210% |
| Bonds | 3–5% / yr | ~34–63% |
| Savings Account (HYSA) | 4–5% / yr | ~48–63% |
| Business Investment | 15–25% / yr | ~305–931% |
| Inflation (benchmark) | ~3% / yr | ~34% |
ROI Rating Guide
| Annualized ROI | Rating | What It Means |
|---|---|---|
| > 20% / yr | 🌟 Excellent | Exceptional — outperforms most benchmarks significantly |
| 10–20% / yr | ✅ Good | Strong — at or above long-term stock market average |
| 5–10% / yr | 👍 Fair | Decent — beats inflation, below stock market average |
| 0–5% / yr | ⚠️ Low | Marginal — barely above or at inflation |
| < 0% / yr | ❌ Loss | Negative — investment lost value |
Frequently Asked Questions
ROI = (Net Profit / Cost of Investment) × 100. Net Profit = Amount Returned − Amount Invested − Any Additional Costs. Example: Invest $10,000, return $14,000, pay $200 in fees: Net Profit = $3,800, ROI = $3,800/$10,200 × 100 = 37.3%. Always include all costs in the cost basis for an accurate ROI.
Annualized ROI (CAGR) converts total ROI into an equivalent annual rate, allowing fair comparison between investments held for different periods. A 100% ROI over 10 years = about 7.2% per year annualized. A 100% ROI over 2 years = 41.4% per year annualized. Without annualizing, you can't fairly compare a 3-year investment to a 10-year investment — they look the same on paper but the shorter one is far better.
Investment gains are taxed when realized. Short-term capital gains (assets held < 1 year) are taxed as ordinary income (10–37%). Long-term capital gains (> 1 year) are taxed at 0%, 15%, or 20% depending on income. After-tax ROI = Pre-tax ROI × (1 − Tax Rate). A 30% gross ROI with 20% capital gains tax = 24% after-tax ROI. Always consider the after-tax return when comparing investments.
ROI is a simple metric: total return ÷ cost. It's easy to calculate but ignores the timing of cash flows and assumes a single upfront investment. IRR accounts for multiple cash flows at different times, solving for the rate that makes NPV = 0. Use ROI for simple single-investment analysis. Use IRR for projects with multiple investments or cash flows at different time periods.
Always use CAGR (annualized ROI) when comparing investments held for different periods. Simple ROI without the time dimension is misleading — a 50% ROI over 1 year (41.4% CAGR) is far better than a 50% ROI over 10 years (4.1% CAGR). CAGR lets you put any two investments on equal footing for comparison.