ROI Calculator
Calculate Return on Investment (ROI) for any investment, project, or business decision. Find out what percentage return you're getting and whether the investment is worth it.
Part of our Business Calculators collection.
ROI Calculator
Free online calculator
$
$
Total value received (including getting your investment back)
Used to calculate annualised ROI
Results update automatically as you type
How to Use This Calculator
- 1
Enter the initial amount invested or spent.
- 2
Enter the total value returned (sale price, revenue, etc.).
- 3
Enter the time period in years to see the annualised return.
- 4
See ROI percentage, net profit, and annualised return.
ROI Formula
ROI = (Final Value − Initial Investment) / Initial Investment × 100 Net Profit = Final Value − Initial Investment Annualised ROI = ((Final Value / Initial Investment)^(1/years) − 1) × 100 Note: Annualised ROI accounts for compounding over multiple years.
Example Calculation
Example: $10,000 invested, returned $13,500 in 1 year
Inputs
initialInvestment: 10000finalValue: 13500timePeriodYears: 1
Result
ROI: 35% | Net Profit: $3,500
($13,500 − $10,000) / $10,000 × 100 = 35% ROI. Net profit of $3,500.
Frequently Asked Questions
What is a good ROI?
It depends on the investment type and risk. The S&P 500 averages ~10% annually. Real estate averages 8–10%. A business investment of 20%+ is generally considered good. Higher risk should command higher expected ROI.
What's the difference between ROI and annualised ROI?
Simple ROI ignores time. 35% ROI over 5 years is much worse than 35% in 1 year. Annualised ROI normalizes for time, letting you compare investments fairly. Use annualised ROI for any multi-year comparison.
Does ROI account for inflation?
Standard ROI doesn't. To calculate real (inflation-adjusted) ROI, subtract the inflation rate from your annualised ROI. If you earned 8% and inflation was 3%, your real return is ~5%.