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ROI Calculator
Raw ROI ignores time, which makes a 50% return over ten years look like a win. This annualises it so you can compare projects honestly.
Your numbers
Result
Return on investment
60%
- Net profit
- $6,000
- Annualised ROI
- 60%
- Payback period
- 7.5 mo
What this means
Positive return. Compare the annualised figure against your next best use of the same money before calling it a win.
Questions people ask
Why annualise ROI?+
So projects of different lengths are comparable. A 20% return in three months is far better than 20% over three years.