ROI Calculator
Calculate return on investment percentage, with optional annualized ROI. Free to use, no signup required for occasional use.
What is the ROI Calculator?
The ROI (Return on Investment) Calculator measures how much return an investment generated relative to what was put in. Enter your initial investment amount and the final value (or the gain), and the tool calculates the ROI as a percentage — a standard metric used across business, finance, marketing, and personal investing to compare the profitability of different opportunities on a like-for-like basis. Because a 20% return over one year is very different from a 20% return over ten years, the calculator also accepts an optional time period in years and, when provided, computes the annualized ROI using a compound growth formula. This gives you a rate that can be fairly compared against other investments, savings accounts, or benchmark returns regardless of how long each was held. ROI is widely used for evaluating stock and real estate investments, marketing campaign spend, business projects, and equipment purchases, since it distills a financial outcome into one comparable number.
How to use it
Enter your initial investment amount — the amount of money you put in at the start. Then enter the final value of the investment (what it's worth now, or what you sold it for). The tool will calculate the gain and the ROI percentage automatically. If you want to compare this investment against others on an annual basis, also enter the time period in years the investment was held; the tool will then show the annualized ROI, which accounts for compounding over that period. Leave the time period blank if you only want the simple, non-annualized ROI percentage.
Frequently asked questions
What does a negative ROI mean?
A negative ROI means the final value was lower than the initial investment, indicating a loss.
Why does annualized ROI differ from simple ROI?
Simple ROI shows total return over the whole period, while annualized ROI spreads that return evenly per year using compounding, making it comparable across different holding periods.
Should I include fees and taxes in my initial investment or final value?
For the most accurate picture, include any fees, commissions, or costs in your initial investment and net proceeds in your final value.
Can I use this for non-financial investments like a marketing campaign?
Yes — ROI applies to any scenario where you can express an initial cost and a resulting value or gain in the same currency.
