Annualized growth calculator

Annualized Return Calculator

Annualize a known total return over a holding period, or calculate the same compounded annual rate from a beginning value and ending value.

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Calculate annualized return

Use one beginning value, one ending value, and the elapsed time. For intermediate deposits or withdrawals, use a cash-flow-aware measure such as XIRR instead.

Time period

Annualized return

12.4683%

Annualized compounded return

Total return
60%
Growth multiple
1.6×
Elapsed time
4 years

Two ways to annualize the same endpoint return

If I know the beginning and ending values, I calculate total return first and then annualize it. If total return is already known, I can enter that percentage directly with the holding period.

Annualized Return = (1 + Total Return)^(1 ÷ Years) − 1

When not to use this calculator

This calculator assumes one endpoint return over the holding period. If money moves in or out during the period, the timing of those cash flows matters and XIRR may be more appropriate.

How dividends and income affect annualized return

This calculator annualizes the endpoint return you give it. If the ending value already reflects reinvested dividends, interest, distributions, or other income, the result can represent a total-return style annualization. If you enter price values only, the result is a price-return annualization and does not add income that was paid separately.

When comparing the result with a fund, index, brokerage statement, or published performance figure, check whether that source reports price return, total return, or another convention before treating the percentages as directly comparable.

Last verified

2026-09-20

Calculation methodology

Calculation methodology