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ROI Calculator

Calculate return on investment as a percentage.

ROI measurements

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How to calculate roi

Return on Investment (ROI) measures the percentage gain or loss on an investment relative to its cost — one of the most widely used financial performance metrics.

How the calculation works

ROI = ((Final value − Cost of investment) ÷ Cost of investment) × 100.

Example

A $5,000 investment growing to $6,500: ((6,500−5,000)÷5,000)×100 = 30%.

Frequently asked questions

How is ROI calculated?

ROI = (([Final value] − [Cost of investment]) ÷ [Cost of investment]) × 100.

Is the ROI Calculator free to use?

Yes — every calculator on Simple Calculator Tools is free, runs in your browser, and does not require an account.

Quick Insight

ROI Calculator

ROI = ((Final value − Cost of investment) ÷ Cost of investment) × 100.

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Your personalized explanation

Calculate a result above and this guide will help you interpret it using this calculator's own formula and explanation.

Pro Tips for ROI

  1. ROI doesn't account for the time period over which the gain occurred — a 30% ROI over 1 year is very different from 30% over 10 years, so compare alongside timeframe.
  2. A negative ROI means the investment lost value relative to its cost.

Common ROI Mistakes to Avoid

  • Comparing ROI figures from investments held over very different time periods without also considering the timeframe, which is essential context for evaluating the result.

When to Use This Calculator

Return on Investment (ROI) measures the percentage gain or loss on an investment relative to its cost — one of the most widely used financial performance metrics.

Content reviewed: August 2026 · Robert Threadgill
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