Why does this differ from my brokerage's performance report?

Brokerages usually show time-weighted or money-weighted returns including unrealized gains. This ROI tool uses cash in minus cash out. Enter sale proceeds in the revenue fields when you exit positions.

How should I compare to the S&P 500?

Match your holding period to calendar total returns from S&P Dow Jones Indices (for example −18.1% in 2022 and +26.3% in 2023 including dividends). The 1928–2025 compound average near 10% is the long-run yardstick, not a forecast for the next three years.

How much do taxes reduce stock ROI?

Taxable accounts often lose 0.5–1.5% per year to dividends and capital gains taxes depending on turnover and income. Hold broad index funds in tax-advantaged accounts when possible; qualified dividend rates follow long-term capital gains brackets for tax year 2026.

ROI scenario

Stock Portfolio ROI Calculator — vs S&P 500

Track $50,000 invested with $22,800 average annual cash return over 3 years and $150 fees. Compare 35.6% ROI to the ~10% equity benchmark.

Stock ROI in this calculator is cash-based: dividends, sales proceeds, and other distributions count as annual revenue; unrealized price gains do not unless you model a sale as cash inflow. The defaults assume $50,000 invested and $22,800 per year in total cash returned for three years (roughly equivalent to selling a portfolio worth about $68,400 after dividends), minus $150 per year in fees. That yields 35.6% total ROI and 10.7% annualized ROI — slightly above the long-run S&P 500 total return of about 10% per year (S&P 500 total return, 1928–2025, Damodaran). Use the same inputs you enter here when comparing to an index fund benchmark.

Initial Investment

Total upfront cost of the investment

Annual Revenue / Return

Expected annual revenue or gain

Annual Ongoing Costs

Recurring annual expenses

Time Period

years

Annual Revenue Growth

Expected annual revenue increase

Total ROI

35.6%

Over 3 years

Net Profit

$17,950

Revenue minus all costs

Annualized ROI

10.7%

Average return per year

Total Cost

$50,450

Initial + ongoing costs

Total Revenue

$68,400

Cumulative returns

Payback Period

2.2 years

Time to recover investment

Year-by-Year Breakdown

Year	Revenue	Cost	Cumulative Profit	Cumulative ROI
1	$22,800	$50,150	-$27,350	-54.5%
2	$22,800	$150	-$4,700	-9.3%
3	$22,800	$150	$17,950	35.6%

Key Considerations

Total cost is $50,450 ($50,000 + three years of $150 fees). Cumulative cash return is $68,400, for $17,950 net profit and 35.6% ROI.
Annualized ROI is 10.7% — compare that to the Damodaran 1928–2025 S&P 500 compound average near 10%, not to a single hot year like 2025 (+17.7% total return).
A 0.30% fee on $50,000 is $150 per year; on a $200,000 account the same fee ratio costs $600 — scale ongoing costs as assets grow.
Dividends contributed about 31% of long-run S&P 500 total return (S&P Dow Jones Indices); reinvested dividends explain much of the gap between price-only and total-return indexes.
If your cash flows are irregular (lump-sum sale in year 3 only), adjust the revenue and growth fields or use the Investment Return Calculator for start/end value CAGR.

Quick Numbers

Initial investment	$50,000
3-year cash returned	$68,400
Net profit	$17,950
Total ROI	35.6%
Annualized ROI	10.7%
Annual fees	$150 (0.30% of $50,000)

How This Compares

10.7% annualized cash ROI over three years is in the same ballpark as passive about 10% per year (S&P 500 total return, 1928–2025, Damodaran), before taxes. Rental and equipment variants on this site often show higher nominal ROI when leverage or operating savings are large — but they require active management.

Frequently Asked Questions

Why does this differ from my brokerage's performance report?: Brokerages usually show time-weighted or money-weighted returns including unrealized gains. This ROI tool uses cash in minus cash out. Enter sale proceeds in the revenue fields when you exit positions.
How should I compare to the S&P 500?: Match your holding period to calendar total returns from S&P Dow Jones Indices (for example −18.1% in 2022 and +26.3% in 2023 including dividends). The 1928–2025 compound average near 10% is the long-run yardstick, not a forecast for the next three years.
How much do taxes reduce stock ROI?: Taxable accounts often lose 0.5–1.5% per year to dividends and capital gains taxes depending on turnover and income. Hold broad index funds in tax-advantaged accounts when possible; qualified dividend rates follow long-term capital gains brackets for tax year 2026.

Sources S&P DJI U.S. Equities Market Attributes (Dec. 2023 returns), Damodaran Data Update 2 for 2026 (2025 S&P 500 return), S&P DJI dividend contribution research (Feb. 2025 data). Checked October 2026.