Real Return Calculator

Find your real net return on investments after subtracting tax obligations and annual inflation rates.

Parameters

Nominal Asset Return

Your Income Tax Slab

Expected Annual Inflation

Calculated Results

Post-Tax Nominal Return -

Net Real Rate of Return -

Computes the actual return of an investment after stripping out the impact of inflation and taxes.

\text{Post-Tax Return} = \text{Nominal Return} \times \left(1 - \frac{\text{Tax Rate}}{100}\right)

\text{Real Return} = \frac{1 + \text{Post-Tax Return}/100}{1 + \text{Inflation}/100} - 1

Show Plain Text / Excel Formula

Post-Tax Return = Nominal Return * (1 - Tax Rate / 100)
Real Return = (1 + Post-Tax Return / 100) / (1 + Inflation / 100) - 1

The Real Rate of Return