Investing
ROI Calculator
Calculate your Return on Investment. Discover your total profit and see your annualized yield to accurately compare different assets over time.
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$
Total Return on Investment
50.00%
Net Profit$5,000
Annualized ROI8.45%
Understanding Return on Investment (ROI)
Return on Investment (ROI) is a performance measure used to evaluate the efficiency or profitability of an investment. It is the ratio of net profit to the total cost of the investment.
Why Annualized ROI Matters
Total ROI tells you how much money you made, but it doesn't tell you how long it took. Earning a 50% ROI over one year is incredible, but earning a 50% ROI over ten years is just okay. Annualized ROI solves this by showing you the equivalent annual growth rate, allowing you to compare investments held for different periods.
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Estimates are for educational purposes only and are not financial, tax, or lending advice. Actual rates, payments, taxes, and insurance vary by lender, credit profile, and location. Formulas used are shown on each page; verify final numbers with your lender or a licensed advisor.