IRR Calculator

Use this free IRR calculator to estimate periodic and annualized internal rate of return from an initial investment and five cash-flow periods.

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Formula steps Estimate limits shown Examples included Private history

Initial investment outflow ($)Year 1 cash flow ($)Year 2 cash flow ($)Year 3 cash flow ($)Year 4 cash flow ($)Year 5 cash flow ($)Periods per year

Estimated annualized IRR12.219996533%

$10,000 outflow, five entered cash-flow periods

Periodic IRR: 12.219996533%
Net cash flow: $4,500.00
Periods per year: 1

Unusual cash-flow signs can produce multiple IRRs or no simple IRR.

Formula steps

Treat the initial investment as a negative cash flow.
Discount each future cash flow until net present value is near zero.
Annualize the periodic IRR using the selected period frequency.

How to use the irr calculator

Enter the requested dollar amounts, rates, terms, tax settings, or contribution details.
Use rates as percentages, such as 6.5 for 6.5%, and check whether a field asks for a monthly or annual amount.
Press the calculate button to see the answer, supporting metrics, and formula steps.
Use the result as a planning estimate only, then copy it if the assumptions look right.

Common uses

Estimate a project internal rate of return.

Compare uneven cash flows against a target return.

See periodic and annualized IRR.

Screen an investment before a detailed model.

Examples

Five-year project $10,000 outflow and five annual inflows

IRR estimate

Uneven cash flows Different cash flow each year

Solved rate

Monthly shorthand Monthly-style period selection

Annualized IRR estimate

Frequently asked questions

Plain-language answers about when to use the estimate, what your numbers mean, what is left out, and how privacy works.

When should I use the IRR Calculator?

Use it for early planning and side-by-side comparisons, especially for tasks like these: Estimate a project internal rate of return. Compare uneven cash flows against a target return. Treat the answer as a planning estimate, not a final quote.

What is the IRR Calculator doing with my numbers?

In plain language: The calculator treats the initial investment as a negative cash flow, then solves for the rate that makes the net present value of all entered cash flows approximately zero. If the result seems too high or too low, first check whether each field expects a monthly amount, annual amount, dollar value, or percent.

What does this estimate leave out?

IRR can be misleading for unusual cash-flow signs, reinvestment assumptions, different project sizes, taxes, fees, inflation, or risk. Real finance decisions can also depend on fees, timing, local rules, credit details, and provider-specific terms.

Does the site save my finance inputs?

No. The calculator runs in your browser tab. Recent answers stay only on the page while you use it, and they are not sent to a server.