Free to Use

XIRR Calculator

Compute the internal rate of return for cash flows that happen at irregular intervals — just like Excel's XIRR function. Perfect for SIPs, mutual funds, private equity, real estate, and any investment with uneven contributions and withdrawals.

Please check your input values and try again.

Enter each cash flow with its date. Investments (money going out) are negative amounts; returns (money coming in) are positive amounts. Dates are measured in actual days from the first cash flow.

# Date Amount ($)
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1. Lump-Sum Investment

You invest $50,000 on January 1, 2025 and receive a single payout of $58,000 exactly one year later. Since there is only one outflow and one inflow exactly one year apart, XIRR equals the simple annual return of 16.00%.

  • 2025-01-01   -50,000.00
  • 2026-01-01   +58,000.00
XIRR = 16.00%

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2. SIP (Monthly Investments)

You invest $1,000 on the first day of each month from January through June 2026 (six instalments totalling $6,000), then receive $7,000 on January 1, 2027. The staggered contributions make the return lower than a lump-sum comparison would suggest, because the later instalments only earn for a few months.

  • 2026-01-01   -1,000.00
  • 2026-02-01   -1,000.00
  • 2026-03-01   -1,000.00
  • 2026-04-01   -1,000.00
  • 2026-05-01   -1,000.00
  • 2026-06-01   -1,000.00
  • 2027-01-01   +7,000.00
XIRR = 21.37%

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3. Private Company Round

A private equity style investment: you put in $25,000 on June 1, 2024, receive an interim distribution of $10,000 on June 1, 2025, and a final distribution of $25,000 on June 1, 2026. The interim cash flow is reinvested at the computed rate, which is exactly the assumption XIRR makes.

  • 2024-06-01   -25,000.00
  • 2025-06-01   +10,000.00
  • 2026-06-01   +25,000.00
XIRR = 21.98%

The XIRR Formula
NPV(r) = Σ CFᵢ / (1 + r)^(tᵢ/365) = 0

CFᵢ = Cash flow i (negative for investments, positive for returns)

tᵢ = Days between cash flow i and the first cash flow

r = Annualized internal rate of return (XIRR)

365 = Actual-day year convention, matching Excel's XIRR

How the Solver Works

XIRR cannot be solved with a simple closed-form formula, so the calculator uses Newton-Raphson iteration. Starting from a guess of 10%, it repeatedly applies:

r_new = r − NPV(r) / NPV′(r)

NPV′(r) = Σ −CFᵢ × (tᵢ/365) × (1 + r)^(−tᵢ/365 − 1)

Iteration stops when the net present value is essentially zero (|NPV| < 0.000001) or the rate stops changing. If Newton-Raphson ever diverges (rate below −99.99% or non-finite), the calculator automatically falls back to a bisection search on the interval [−99.99%, 1000%], which is guaranteed to converge for any well-posed cash flow stream.

List Every Cash Flow With Its Date

Write down each investment as a negative number and each return as a positive number, together with the exact date the money moves. Include every contribution and every withdrawal — gaps and irregular timing are exactly what XIRR is designed to handle.

Anchor Time at the First Cash Flow

The first cash flow defines day zero. Every other flow is expressed as the actual number of days between its date and that first date, divided by 365 to convert to years. Using real calendar days is what distinguishes XIRR from plain IRR.

Discount Every Flow Back to Day Zero

Each cash flow is discounted with (1 + r)^(tᵢ/365), where tᵢ is its year fraction from step two. Summing all discounted flows gives the net present value (NPV) of the entire investment at rate r.

Iterate Until NPV Reaches Zero

Adjust the rate r up or down until the NPV equals zero. That rate — expressed as a percentage — is your XIRR. It is the constant annual return that makes the present value of all money out exactly equal to the present value of all money in.

Interpret the Result

An XIRR of 15% means your cash flow stream performed as if every dollar earned a steady 15% per year, compounded daily on actual dates. Compare it against your required rate of return or a benchmark to judge whether the investment was worthwhile.

What Is XIRR and When to Use It

XIRR (Extended Internal Rate of Return) is the annualized rate of return for a series of cash flows that occur at irregular intervals. It is the rate r that makes the net present value of all cash flows equal to zero, where each flow is discounted by the actual number of days since the first flow divided by 365.

The key difference from plain IRR: IRR assumes cash flows occur at regular periods (typically yearly, or one period apart), while XIRR weights each flow by its exact calendar date. This makes XIRR the correct tool whenever money moves at uneven times.

Common Uses of XIRR

Because XIRR accounts for the exact timing of every dollar, it gives a much fairer picture of an investment's true performance than simple profit percentages, especially when contributions and withdrawals are scattered across months or years.

How to Calculate XIRR

You can compute XIRR by hand (approximately), in a spreadsheet, or with this calculator. The underlying process is always the same:

List the cash flows with dates

Collect every cash flow in chronological order: negative for money invested or paid out, positive for money received. Attach the exact date to each one.

Set day zero at the first flow

Take the earliest date as the reference point. For each later flow, compute the number of days elapsed and divide by 365 to get its year fraction tᵢ.

Guess a rate and discount

Start with a guess (10% is a common starting point). Discount every cash flow back to day zero using (1 + r)^(tᵢ/365) and add them up to get the NPV.

Adjust the rate until NPV = 0

If the NPV is positive, the guess is too low — raise r. If it is negative, lower r. Iterate (Newton-Raphson makes this converge in a handful of steps) until the NPV is effectively zero.

Multiply by 100 and read the answer

The converged rate r, expressed as a percentage, is the XIRR. In Excel, the identical result comes from =XIRR(values, dates, [guess]).

This calculator does all of that automatically, solving with up to 100 Newton-Raphson iterations and a bisection fallback, so you always get a stable, accurate result.

XIRR vs CAGR vs IRR

These three return measures are frequently confused. The table below shows how they differ and when each one is appropriate.

Method Cash-Flow Pattern When to Use
XIRR Any number of cash flows at irregular, real-calendar dates Investments with uneven contributions and withdrawals: SIPs, private equity, real estate, project cash flows
IRR Cash flows assumed exactly one period apart (usually yearly) Theoretical or simplified analyses where flows are regular, or when period spacing is uniform
CAGR Exactly one initial outflow and one final inflow (no intermediate flows) Simple lump-sum comparisons: "my $10,000 grew to $16,000 in 5 years" — no interim cash flows allowed

In short: CAGR is a two-point measure, IRR assumes even spacing, and XIRR handles real-world timing. Whenever your cash flows carry actual dates, XIRR is the most accurate choice.

Frequently Asked Questions (FAQ)

What is the difference between XIRR and IRR?
IRR assumes that all cash flows occur at regular, equal intervals (typically one year apart) and discounts each by an integer number of periods. XIRR uses the actual calendar dates of each cash flow and discounts by the exact number of days divided by 365. For investments with uneven contributions or withdrawals — SIPs, private equity, real estate — XIRR is the accurate choice, while plain IRR can be misleading because it ignores real timing.
What is a good XIRR for mutual funds?
Historically, diversified equity mutual funds have delivered long-term XIRR in the range of 10% to 15% per year, while debt funds typically return 6% to 9%. A "good" XIRR depends on the asset class, the time horizon, and the prevailing interest-rate environment. The most meaningful comparison is against your own benchmark — for example, a relevant index fund's XIRR over the same period — rather than against an arbitrary number.
How do I calculate XIRR in Excel?
Use the built-in =XIRR(values, dates, [guess]) function. Put your cash flows in one column (investments as negative numbers, returns as positive) and the matching dates in an adjacent column. The first date must be the earliest, and every value must have a corresponding date. The optional guess argument (e.g., 0.10 for 10%) helps Excel converge; the result is returned as a decimal, so format the cell as a percentage. This calculator implements the same math with the same 365-day convention.
Can XIRR be negative and what does that mean?
Yes. A negative XIRR simply means you received back less, in present-value terms, than you put in — the investment lost money on an annualized basis. For example, investing $10,000 and receiving $9,500 a year later produces an XIRR of about −5%. A negative result is a clear signal that the investment underperformed a zero-return benchmark, and you should compare it against what you could have earned elsewhere.
Does XIRR use a 365-day or 360-day year?
XIRR uses a 365-day year (actual/365 convention). Each cash flow is weighted by the true number of calendar days between it and the first cash flow, divided by 365. This matches Excel's XIRR function exactly, so results from this calculator and from a spreadsheet will agree to the displayed precision. No 360-day banking convention is applied.
What is the difference between XIRR and CAGR?
CAGR (Compound Annual Growth Rate) assumes a single initial investment and a single final value with no intermediate cash flows — it is a two-point geometric average. XIRR handles any number of cash flows at any dates, including multiple contributions and withdrawals. If you only invested once and took everything out at the end, XIRR and CAGR will agree. Once money moves in or out at different times, XIRR is the only one of the two that gives an accurate annualized return.

⚠️ Disclaimer: Past performance does not guarantee future results. XIRR assumes reinvestment of intermediate cash flows at the computed rate, which may not be achievable. Not investment advice.