Rate of Return Calculator

Estimate total return, annualized return, investment gain, dividend income, and inflation-adjusted return based on beginning value, ending value, cash flows, and investment period.

Calculate Rate of Return

Total return is estimated as ending value plus distributions minus beginning value minus additional contributions plus withdrawals. Annualized return converts that total return into a yearly rate.
Your result will appear here.

How the rate of return calculator works

Total return:
The calculator estimates net gain after accounting for starting value, ending value, contributions, withdrawals, and distributions.

Annualized return:
The total return is converted into an equivalent yearly growth rate over the years held.

After-tax return:
The tax rate entered is applied to positive net gains for a simplified after-tax estimate.

Inflation adjustment:
The annualized return is also translated into a real return estimate after inflation.

Why rate of return matters

Rate of return helps compare how effectively different investments performed over time. It is useful for evaluating stocks, funds, real estate, business investments, and other assets when cash flows are involved.

This tool works best for simplified return comparisons and planning analysis.

What your result means

Your result shows total dollar gain, total return percentage, annualized return, after-tax gain, and real return after inflation based on the numbers entered.

Rate of return calculator tips

Frequently asked questions

What is rate of return?

Rate of return is a measure of how much an investment gained or lost relative to the amount invested over a given time period.

What is annualized return?

Annualized return converts total performance into an equivalent yearly rate so investments over different time periods can be compared more consistently.

Do dividends count toward return?

Yes. Dividends, interest, and other distributions are part of total return and should be considered when measuring performance.

Is this the same as IRR?

No. This is a simplified rate of return estimate and not a full internal rate of return calculation with dated cash flow timing.