Financial Tools
ROI Calculator
Calculate total cost, profit, and return on investment percentage.
Total cost
$5,350.00
Profit
$1,150.00
ROI
21.50%
How to use the ROI calculator
- Enter the initial amount invested.
- Enter the ending value or proceeds for the same investment.
- Add fees, repairs, commissions, or other costs not included in the initial amount.
- Review total cost, profit or loss, and return on investment.
ROI formula used by this tool
Total cost = initial investment + extra costs. Profit equals ending value minus total cost. ROI equals profit divided by total cost, multiplied by 100. A positive percentage indicates a modeled gain; a negative percentage indicates a modeled loss.
Worked ROI example
If an investment starts at $5,000, has $350 in additional costs, and ends at $6,500, total cost is $5,350 and profit is $1,150. The tool divides that profit by $5,350 to calculate the percentage return. This synthetic example is for learning how the formula behaves.
Compare like with like
ROI is most useful when every scenario covers the same period and includes costs on the same basis. A 10% return earned over one month is not directly comparable to 10% earned over three years. This simple calculator does not annualize returns or adjust for inflation, taxes, financing, cash-flow timing, or risk.
Costs people often overlook
- Transaction, platform, brokerage, or payment-processing fees
- Financing charges and interest
- Repairs, maintenance, shipping, insurance, or professional services
- Taxes and the value of time, when relevant to the decision
ROI calculator FAQ
Can ROI be negative?
Yes. When ending value is below total cost, profit and ROI are negative.
Is a higher ROI always better?
No. Time, risk, liquidity, uncertainty, taxes, and alternative uses of money also matter.
Does this calculate annualized return?
No. It calculates a simple return for the complete period represented by the inputs.
Related planning tools
For a property project with itemized deal assumptions and downside scenarios, use the House Flip Calculator. For a monthly cash snapshot, use the Financial Planner.
What to do next
Keep exploring
Try another calculator or read the practical guides behind SEANGWORLD's money and planning tools.