Basic ROI Calculator
Use this calculator to estimate the financial benefits of your investment by comparing your current and future monthly spend, factoring in inflation and investment period. The tool provides key results such as monthly and annual savings, payback period, and internal rate of return (IRR) to help you assess the value and timing of your investment.
Your Spend Inputs
Your Investment Results
Monthly Savings
Monthly Savings:
The difference between your current and future monthly spend. This value shows how much you save each month after implementing the investment or change.
The difference between your current and future monthly spend. This value shows how much you save each month after implementing the investment or change.
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Annual Savings
Annual Savings:
Your total savings over a year, calculated as your monthly savings multiplied by 12.
Your total savings over a year, calculated as your monthly savings multiplied by 12.
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Payback Period
Payback Period:
The number of months required for your cumulative savings to equal your initial investment. A shorter payback period means you recover your investment faster.
The number of months required for your cumulative savings to equal your initial investment. A shorter payback period means you recover your investment faster.
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months
Internal Rate of Return (IRR)
Internal Rate of Return (IRR):
The annualized effective compounded return rate that makes the net present value (NPV) of all cash flows (both positive and negative) from an investment equal to zero. A higher IRR indicates a more attractive investment.
The annualized effective compounded return rate that makes the net present value (NPV) of all cash flows (both positive and negative) from an investment equal to zero. A higher IRR indicates a more attractive investment.
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%
Cashflow Chart
Cashflow Chart:
Visualizes the investment and monthly savings over the IRR period.
Visualizes the investment and monthly savings over the IRR period.
Net Present Value (NPV)
Net Present Value (NPV):
The sum of the present values of all cash flows (inflows and outflows) over the IRR period, discounted using the WACC rate. A positive NPV indicates a profitable investment.
The sum of the present values of all cash flows (inflows and outflows) over the IRR period, discounted using the WACC rate. A positive NPV indicates a profitable investment.
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Total Cost of Ownership Scenarios
Total Cost of Ownership (TCO):
TCO is the present value of all costs associated with an asset over its lifetime, including initial investment and ongoing costs. This chart compares the baseline (current spend) and scenario (investment + future spend) TCOs, including the NPV.
TCO is the present value of all costs associated with an asset over its lifetime, including initial investment and ongoing costs. This chart compares the baseline (current spend) and scenario (investment + future spend) TCOs, including the NPV.