XIRR Calculator
Calculate an annualised XIRR from dated cash flows using an ACT/365 convention.
Annualised XIRR
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Replace the illustrative cash flows to calculate a result.
How the XIRR calculator works
Enter dated cash flows. Use a negative amount for money paid or invested and a positive amount for money received or the ending value. The calculator solves for the annual rate that makes the dated flows net to zero using ACT/365 fixed day fractions.
XIRR versus CAGR
CAGR is designed for one starting value and one ending value. XIRR accounts for timing when there are dated additions or withdrawals. Neither result forecasts future returns, verifies performance, or determines a suitable investment.
Methodology and limits
- Method version
xirr-dated-cash-flow-act365-v1- Class
- A / R1 (pure-math)
- Effective date
- not-applicable
- Jurisdiction
- not-applicable
- Source status
- not-required-pure-math
- Rounding
- Use ACT/365 fixed day fractions and full precision in the solver; round only the displayed percentage to two decimal places.
- Review trigger
- solver, date-count, input-contract, rounding, or methodology-copy change
Formula: XNPV(r) = Σ cashFlowᵢ / (1 + r)^((dateᵢ − firstDate) / 365); XIRR is the annual r for which XNPV(r) = 0, with r > −1.
Educational boundary: Educational arithmetic only; it is not a forecast, investment recommendation, product comparison, or personalised financial advice.
Included: Two to twelve dated INR cash flows; Conventional chronological cash-flow patterns with one sign change; ACT/365 fixed annualisation
Excluded: Multiple-root/non-conventional cash flows; Fees, taxes, product performance verification or NAV timing; Forecasts, recommendations or suitability conclusions
Inputs: cashFlows (dated INR cash flows; 2–12; default 2, original illustrative example)
Outputs: annualRatePercent (percent per year; full solver precision; displayed to two decimal places)
Assumptions: Negative amounts represent money paid or invested; positive amounts represent money received or the ending value. Dates are ISO calendar dates and use ACT/365 fixed day fractions. The chronological cash-flow series has exactly one sign change.
- Educational arithmetic only; it is not a forecast, product comparison, or investment recommendation.
- Requires conventional cash flows with exactly one chronological sign change; multiple-sign-change patterns can have more than one rate and are rejected.
- Does not include fees, taxes, NAV timing, product selection, performance verification, or personalised suitability.
Frequently Asked Questions
What is XIRR?
XIRR is an annualised rate implied by cash flows that occur on different dates. It solves for the rate that makes the dated cash flows add up to zero under the calculator’s ACT/365 convention.
When is XIRR more useful than CAGR?
CAGR fits one beginning value and one ending value. XIRR can be useful when money was added or withdrawn on different dates, provided the cash-flow pattern is conventional.
Why can this calculator reject my cash flows?
Cash flows with more than one change between money paid and money received can produce more than one rate. The calculator rejects those patterns rather than selecting an arbitrary answer.
Is XIRR a forecast?
No. It describes the annualised arithmetic of the dates and amounts entered. It does not forecast future returns or recommend an investment.
Disclaimer: This calculator produces illustrative estimates only. Actual returns vary and, unless stated otherwise, results exclude expense ratios, exit loads, transaction costs, and taxes. Assumed rates are inputs, not forecasts or assured returns. This is educational content, not personalized investment advice — see our full disclaimer.