KalkWise
Investing

ROI Calculator

Enter initial investment, final value, and time period to instantly calculate ROI, annualized return, and profit.

Updated June 2026 · Editorial standards

Investment Details

$
$
yrs
ROI
50.00%
Annualized ROI
14.47%
Total Profit
$5,000
Return Multiple
1.50x

A $10,000 investment that grows to $15,000 over 3 years earns a 50.00% ROI — 14.47% annualized. Total profit: $5,000 (1.50x return).ROI = (final − initial) ÷ initial. Annualized ROI (CAGR) shows the equivalent annual growth rate, making different-duration investments comparable. The S&P 500 averages ~10% annualized ROI over the long run.

By the KalkWise Editorial Team Reviewed for accuracy Updated June 2026

What is the roi calculator — return on investment?

In short

ROI = (final value − initial investment) ÷ initial investment × 100. A $10,000 investment that becomes $15,000 in 3 years has a 50% total ROI and ~14.5% annualized ROI (CAGR). The S&P 500 has averaged ~10% annualized ROI historically.

Calculates total ROI, annualized ROI (CAGR), total profit, and return multiple for any investment.

How to use this calculator

  1. 1Enter the initial amount invested.
  2. 2Enter the final value (current or projected).
  3. 3Enter the time period in years for annualized calculation.

The formula

ROI=final−initialinitial×100
annualized=(finalinitial)1years−1
ROI = (F − I) ÷ I × 100; Annualized ROI = (F/I)^(1/n) − 1; Multiple = F ÷ I
I
— Initial investment
F
— Final value
n
— Years

Worked example

The scenario

$10,000 invested, grew to $15,000 over 3 years.

gives

The result

ROI = 50%. Annualized = 14.47% (CAGR). Profit = $5,000. Multiple = 1.5x.

Common use cases

  • Compare returns across different investments.
  • Evaluate whether an investment beat inflation or market benchmarks.
  • Calculate historical performance of stocks, real estate, or business.
  • Set expectations for future investments.

Limitations & assumptions

  • Does not account for risk — two investments with the same ROI may have very different volatility.
  • Total ROI without time component is not comparable across different durations.
  • Does not include dividends, distributions, or tax drag.
  • Past ROI does not guarantee future returns.

Frequently asked questions

Compound Annual Growth Rate — the annualized rate of return assuming growth compounds each year. It's more useful than simple ROI for comparing investments held for different periods.

Disclaimer: KalkWise calculators are provided for general informational and educational purposes only and do not constitute financial, investment, tax, or legal advice. Results are estimates based on the figures you enter and the assumptions described above. Actual outcomes will vary. Consult a qualified professional before making financial decisions.