ROI Calculator
Calculate profit or loss as a percentage of the total cost you entered.
Your result
FINANCIALEnter your values and select calculate.
On this page How it works & practical examples
How to use the ROI Calculator
Include relevant buying and selling expenses in additional costs, unless they have already been deducted from final proceeds. The denominator is all the money invested, not only the purchase price. A negative ROI indicates a loss. This convention makes it clear why the percentage can differ from a calculation that divides profit by the initial price alone.
The calculation
Worked example
An investment costing $1,000 plus $50 in additional costs, later sold for $1,300, produces a $250 net profit. Dividing by the $1,050 total cost gives a return of 23.8095%.
Assumptions and limits
This is a total return for a single period, not an annualized performance measure. It does not account for the timing of cash flows, borrowed funds, risk, tax or inflation. Final proceeds may be zero, which represents losing the amount invested. The initial investment must be positive so that the cost basis is meaningful.
Common questions
Should I deduct the same fee twice?
No. If proceeds already exclude a selling fee, do not also enter that fee as an additional cost.
Can I compare investments held for different lengths of time?
Total ROI alone does not account for time. Comparing a one-year and a ten-year holding by this percentage can be misleading.