Return on investment (ROI) calculator
Calculate return on investment as a percentage. Enter investment cost, return and holding period to see annualised ROI and profit.
- Free, no sign-up
- No data stored
- Reviewed 2026-01-15
Your details
Results
- Total invested
- £10,000.00
- Net profit
- £4,500.00
- Annualised return
- 13.19 %
- Payback period
- 6.7 years
- Return multiple
- 1.45×
Cagr note
About the ROI Calculator
Enter the total investment cost and the total return (or current value) to see the ROI percentage, net profit and annualised return. The annualised figure is useful for comparing investments held over different time periods.
How to use the ROI Calculator
- Enter the initial investment amount.
- Enter the total return or current value.
- Set the holding period in years.
- Optionally add extra costs (fees, taxes).
- View ROI %, net profit and annualised return.
Formula and method
ROI = (Gain − Cost) / Cost × 100
Annualised = (1 + ROI/100)1/years − 1
Frequently asked questions
How is ROI calculated?
ROI = (Return − Investment) / Investment × 100. It shows profit as a percentage of the original cost.
What is annualised ROI?
It converts a multi-year return into an equivalent annual rate using the formula: (1 + ROI)^(1/years) − 1. Useful for comparing a 2-year and a 5-year investment.
Should I include fees?
Yes. Deduct all costs (transaction fees, management fees, taxes) from the return for a true ROI. The extra costs field handles this.