$50k in, $9k/year, 5 years
- Annual CoC = 18%
- Total CoC ≈ 80%
finance calculator
Cash-on-Cash Return Calculator
Calculate annual and total cash-on-cash returns from upfront investment and cash flow.
Results
- Annual cash-on-cash
- 18.00%
- Total cash flow
- $45,000 USD
- Total profit
- -$5,000 USD
- Total cash-on-cash
- -10.00%
How to use this calculator
- Enter initial cash invested and annual cash flow.
- Add the holding period in years.
- See annual cash-on-cash, total cash flow, total profit, and total cash-on-cash.
Inputs explained
- Initial cash invested
- Total cash outlay you put into the deal upfront.
- Annual cash flow
- Net yearly cash flow (income minus expenses) before sale.
- Holding period (years)
- How long you expect to hold the investment.
How it works
Annual cash-on-cash = annual cash flow ÷ initial cash invested.
Total return looks at cumulative cash flow over the holding period vs the initial cash.
Formula
CoC = Annual cash flow / Initial cash invested Total CoC = (Total cash flow / Initial cash) − 1
When to use it
- Quick yield check on a rental or project before considering appreciation/sale.
- Comparing multiple deals on pure cash yield.
- Testing how holding period changes total cash-on-cash returns.
Tips & cautions
- Cash-on-cash excludes appreciation and loan paydown—pair with IRR/NPV for a fuller view.
- Use realistic net cash flow (after expenses) to avoid overstating yield.
- Does not include sale proceeds, appreciation, taxes, or financing details.
- Assumes constant annual cash flow over the holding period.
Worked examples
$80k in, $12k/year, 4 years
- Annual CoC = 15%
- Total CoC = 60%
Deep dive
This cash-on-cash return calculator measures annual and total cash yield on your upfront investment. Enter cash in, annual cash flow, and holding years to see if a deal clears your hurdle before considering appreciation or sale.
Use it to compare rentals or projects on pure cash yield, then move to IRR/NPV when you want to include sale proceeds and time value.
FAQs
- Does this include loan principal paydown?
- No. This focuses on cash flow. Add principal reduction separately if needed.
- Is appreciation included?
- No. This isolates cash yield. Use IRR to include sale proceeds and appreciation.
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Not financial advice. Confirm assumptions and taxes with a professional.