XIRR Calculator

Calculate the Extended Internal Rate of Return (XIRR) for irregular transaction cashflows (SIPs, lump sums, and withdrawals).

Parameters
Cash Flows (Negative = Investment, Positive = Return/Balance)
Calculated Results
Calculated XIRR (Annualized CAGR) -

Calculating Returns on Irregular Cash Flows

XIRR is the standard method used in personal finance to compute annualized CAGR when investments, additions, and withdrawals occur on irregular dates.

Formula & Mathematical Approach

Computes the Internal Rate of Return (IRR) for irregular cash flows using numerical methods.

Solves for r where: ∑t=0NCash Flowt(1+r)dt−d0365=0\text{Solves for } r \text{ where: } \sum_{t=0}^{N} \frac{\text{Cash Flow}_t}{(1 + r)^{\frac{d_t - d_0}{365}}} = 0
Show Plain Text / Excel Formula 
Solves for r where: Sum [ Cash Flow_t / (1 + r) ^ ((d_t - d_0) / 365) ] = 0

Key Assumptions

  • Uses actual/365 day count convention.
  • Cash flows occur exactly on the specified dates.
  • Newton-Raphson with bisection fallback is used to find the root.