Marketing & Finance
ROI Calculator
Return on investment as profit, percentage and ratio, with an annualised value if you add the duration.
- Time: 2 minutes
- With: Anyone judging an investment or a campaign
- You get: ROI, net profit and a plain-language reading
How to use this worksheet
- Enter what you invest in total, including time and fees you would otherwise forget.
- Enter the total return (revenue or savings) the investment produces over its whole life.
- Add the duration in years if you want to compare projects of different length: the annualised ROI makes them comparable.
Investment details
All amounts in the same currency.
Write down where the numbers come from and what would change them.
Prompts and example
Example
Return counts only sales that can be attributed to the campaign.
Results
Before you finish
- The investment includes all costs, also internal time.
- The return only counts what the investment caused.
- You compared it to at least one alternative with the same duration.
ROI formula
ROI = (return - investment) / investment x 100. A 50% ROI means each euro invested came back as 1.50 euros.
ROI says nothing about timing or risk. Two projects with the same ROI can be very different if one takes a year and the other five: use the annualised value, and compare the payback period.
Recommended reading
Werbung / Ad: Affiliate links. As an Amazon Associate I earn from qualifying purchases at no extra cost to you.
- The Intelligent InvestorBenjamin Graham
Classic guide to value investing with fundamental principles for analyzing investment returns and making rational financial decisions.