NPV & IRR Calculator
Net present value and internal rate of return of a project from the investment, yearly cash flow, growth and discount rate.
How to use the NPV & IRR calculator
- Enter initial investment, cash flow in year 1, yearly growth in cash flow, years, discount rate and value at the end: resale, salvage.
- Read the net present value at the top of the result, with internal rate of return, at this discount rate underneath. It updates as you type.
- Change one input at a time to see what moves the answer most, then save the result with Copy link or Download PDF.
About this tool
NPV discounts each year's cash back to today's value. A positive NPV means the project beats your required return; IRR is the rate at which NPV becomes zero.
Worked example
With initial investment of ₹10,00,000, cash flow in year 1 of ₹2,50,000, yearly growth in cash flow of 5%, years of 6 years and discount rate of 12%:
| Net present value | ₹1,46,664 |
| Internal rate of return | 16.81% |
| At this discount rate | Worth doing (NPV positive) |
Built and reviewed by Savitar Finance (savitarfinance@gmail.com). Rules and rates last checked October 2026. How we calculate · Report a problem
Questions people ask
What does a negative NPV mean?
The project earns less than your discount rate, so it would destroy value at that required return.
NPV or IRR: which is better?
NPV, for choosing between projects of different sizes. IRR is easier to communicate.