HomeCalculatorsBUSINESS
BUSINESS

Payback Period Calculator

Estimate how long an investment takes to recover from a steady annual cash flow.

Enter your values

Your inputs stay in this browser.
Free tool

Upfront investment.

Looks good.

Expected steady annual cash flow.

Looks good.

Privacy-friendly: your inputs are processed locally in your browser.

Formula

Payback period = initial investment ÷ annual cash flow.

Payback period = initial investment ÷ annual cash flow.

How it works

1

Enter initial investment.

2

Enter expected annual cash flow.

3

Review payback in years.

Important notes

This simple model assumes a constant annual cash flow and ignores discounting.