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ROI Calculator

Measure the return on any business investment — advertising, equipment, new hires, tools — with payback period and annualised ROI.

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How this calculator works

ROI (Return on Investment) measures the efficiency of an investment. A 50% ROI on a ₹10L investment generates ₹5L profit. But time matters — 50% over 1 year is very different from 50% over 5 years. This calculator shows both simple ROI and annualised ROI so you can compare investments on an equal basis.

Formula ROI = (Net gain ÷ Total cost) × 100 | Annualised ROI = ROI × (12 ÷ Period in months) | Payback = Investment ÷ Monthly net gain

Last updated: March 2026  ·  Rates and slabs updated for FY 2025-26

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Include all costs

Most people underestimate total investment cost. Include setup, integration time, training, and ongoing maintenance.

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Time matters for comparison

A 100% ROI in 6 months (200% annualised) beats a 120% ROI in 2 years (60% annualised). Annualise to compare.

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Set a hurdle rate

Define your minimum acceptable ROI (hurdle rate) — typically 20–30% for business investments. Reject anything below.

Frequently Asked Questions