🎯 IRR Calculator
The internal rate of return is the single discount rate that makes the net present value of a project exactly zero — in plain terms, the project's true annualized yield. Enter the initial investment as a negative number first, then each period's cash inflow, separated by commas.
The calculator solves for the rate with a bisection search between -99.99% and 1000%. If the cash flows never change sign, no IRR exists and you will be asked to check your numbers.
How to use this calculator
Enter your cash flows separated by commas, starting with the initial investment as a negative number, to find the internal rate of return.
- Enter the Cash flows with the investment first as a negative number, e.g. -10000, 3000, 4000, 5000, 6000.
- Separate each period's cash flow with a comma.
- Press Calculate.
- Read the IRR percentage, the period count and the net profit.
Frequently asked questions
What is the internal rate of return?
It is the discount rate that makes the net present value of all cash flows exactly zero: the project's true annualized yield. For -10000 followed by 3000, 4000, 5000 and 6000, the IRR is about 24.89%.
How is it computed?
With a bisection search that narrows the rate between -99.99% and 1000% until the net present value crosses zero, repeating up to 200 times for high precision.
When does no IRR exist?
When the cash flows never change sign (all positive or all negative), no rate can zero out the net present value, and the calculator asks you to check your numbers.
How is IRR different from ROI?
ROI ignores timing completely, while IRR accounts for when each cash flow arrives, making it the better tool for comparing projects with different schedules.