ROI Calculator

ROI Calculator measures Return on Investment, net gain divided by cost, as a percentage, the universal yardstick for judging and comparing how efficiently money is put to work.

Its strength is comparability: expressing return relative to cost lets you weigh investments of completely different sizes on equal terms, so a small high-return project and a large modest-return one can be ranked sensibly.

Its main blind spot is time. Plain ROI treats 30% earned in a year the same as 30% over five years, which is misleading, so when periods differ, annualise the ROI (or use a time-aware metric like IRR) for a fair comparison. And what counts as 'good' is relative: a worthwhile ROI should beat your safer alternatives and reward the risk taken, rather than being judged against an absolute number.

For an honest figure, use net gain and a cost that includes everything the investment truly required; gross figures and overlooked costs inflate ROI. It's informational, not financial advice, and runs entirely in your browser. Pair it with the NPV, Break-Even, and other ToolsMonk business calculators.