IRR Calculator
Internal Rate of Return via Newton-Raphson.
Amortization schedule
| # | Payment | Principal | Interest | Balance |
|---|---|---|---|---|
Showing first 12 of months.
Growth over time
| Year | Invested | Value |
|---|---|---|
Introduction
IRR Calculator — Internal Rate of Return via Newton-Raphson. Enter Cash flows (comma separated, t=0 first) to get an instant, accurate result.
Formula
IRR is the discount rate r that makes NPV = 0, solved iteratively using Newton-Raphson.
Step-by-step
- Enter the Cash flows (comma separated, t=0 first).
- Click Calculate to see your result instantly.
Real-world example
Example: With Cash flows (comma separated, t=0 first) = -10000, 3000, 4200, 6800, the IRR Calculator gives IRR Pct: 16.3406.
Frequently Asked Questions
How is IRR different from ROI?
IRR accounts for the timing of cash flows and is expressed as an annualized rate, while simple ROI doesn't account for when money moves.
What if the calculator can't find a solution?
This can happen with unusual cash-flow patterns (e.g. no sign change); try adjusting the cash flow sequence.
What inputs does the IRR Calculator need?
You'll need to provide: Cash flows (comma separated, t=0 first). All fields use sensible defaults, so you can see a working example immediately and then adjust the values to match your own numbers.
How accurate is the IRR Calculator?
The IRR Calculator applies the formula exactly as calculated — IRR is the discount rate r that makes NPV = 0, solved iteratively using Newton-Raphson. — so results are precise for the inputs you provide. Accuracy depends on entering correct, realistic input values.
Are these results guaranteed?
No. The IRR Calculator gives an estimate based on the numbers you enter and standard financial formulas — actual rates, fees, taxes, and terms vary by lender, institution, and jurisdiction, and can change over time. This is not financial advice; consult a qualified financial professional for decisions specific to your situation.
Is the IRR Calculator free to use?
Yes, the IRR Calculator is completely free, requires no signup, and runs instantly in your browser.
About the IRR Calculator
The IRR Calculator uses a real, verifiable formula — IRR is the discount rate r that makes NPV = 0, solved iteratively using Newton-Raphson. — so results are accurate every time, not an approximation.