💰 ROI Calculator
Enter what you invested and what you got back to get the ROI percentage, the net gain and (with a time period) the annualized return.
ROI
35.00%
Net gain
$3,500
Annualised (CAGR)
10.52%
ROI = (final − invested) ÷ invested × 100. The annualised figure is the CAGR over the holding period. Educational, not advice. 🔒 In your browser.
How the roi calculator works
Return on investment is ROI = (final value − amount invested) ÷ amount invested × 100. The numerator is your net gain (or loss), and dividing by the amount invested expresses that gain as a percentage of what you put in, so investments of different sizes can be compared. If you enter the holding period, the tool also gives the annualized return (CAGR = (final ÷ invested)^(1/years) − 1), which lets you compare investments held for different lengths of time. Worked example: turning $8,000 into $10,000 is a $2,000 gain, or 25% ROI; spread over 2 years that is an annualized return of about 11.8%.
Simple ROI ignores time, so a 50% return over one year and over ten years look the same, always check the annualized figure for a fair comparison. Educational, not financial advice.
Frequently asked questions
How do I calculate ROI?
ROI = (final value − amount invested) ÷ amount invested × 100. Turning $10,000 into $13,500 is a $3,500 gain, or 35% ROI.
What is a good ROI?
It depends on the investment, risk and time frame. There’s no universal figure. Compare against alternatives and always factor in how long the money was tied up.
Why should I annualize ROI?
Because simple ROI ignores time. A 35% return in 1 year is far better than 35% over 10 years; the annualized (CAGR) figure makes them comparable.
Can ROI be negative?
Yes, if the final value is less than the amount invested, the ROI is negative, showing a loss.
Does ROI include costs?
Only if you include them, subtract fees, taxes and other costs from the final value (or add to the investment) for a true net ROI.
What is the difference between ROI and CAGR?
ROI is the total percentage gain over the whole holding period regardless of time; CAGR (annualized ROI) is the equivalent per-year rate. A 25% ROI is impressive in one year but modest over ten, the annualized figure makes that clear.
Can ROI be greater than 100%?
Yes, if the final value is more than double the amount invested, ROI exceeds 100%. Turning $5,000 into $15,000 is a 200% ROI, because the $10,000 gain is twice what you put in.
Educational information, not financial advice. These calculators use standard formulas with the figures you enter; results are illustrations, not guarantees. For decisions about your money, consult a qualified, regulated financial professional.