XIRR Calculator

The XIRR Calculator is short for Extended Internal Rate of Return, a financial tool that calculates the annualised return for investments where multiple transactions take place. It is a go-to tool for tracking the performance of SIP and mutual funds.

To learn more about it, read our detailed guide- What is XIRR & how it works?

You can easily calculate XIRR in Excel using the XIRR function. All you need to do is enter the amounts you have invested and the dates for each transaction.

 XIRR formula in Excel in action:

=XIRR (Values, Dates, [guess])

Values: This is the amount you have invested or withdrawn. For each investment, enter the amount as a negative number and for your current investment value, enter it as a positive number.

Dates: These are the dates when you made each investment or withdrawal.

Guess: You can skip this part, Excel will figure it out on its own.

Steps to Calculate XIRR in Excel:

List your investments and withdrawals in one column, in order of the date they happened:

• Step 1: In the next column, enter the dates for each transaction.
• Step 2: At the end, put the current value of your investment along with today’s date.
• Step 3: Now, use the XIRR function in another cell: =XIRR (Values, Dates [guess]).
• Step 4: Select all your values and dates, press Enter, and Excel will give you the XIRR.

Let us take an example to understand how to calculate XIRR in Excel:

Now imagine, you start SIP of Rs.10,000 on January, 2023 and continued to invest the exact same amount the whole year on the same date. Now, as of December 10, 2023, your maturity SIP is Rs. 1,30,000.

In this scenario, you can calculate the XIRR of your SIP as shown in the table below:

The table above shows that the cash flows happened at irregular time frames. Here you can use the XIRR to calculate the return for cash flows.

(Note: Do not forget to include the "minus" sign whenever you invest money.)

You can follow the steps below after you have opened an Excel sheet:

• In column A, add your transaction dates.
• In column B, enter the SIP amount of Rs.10,000 with a minus sign to show outflow of cash.
• Under the redemption date (Column A), enter the redemption amount in Column B (Rs . 1,30,000).
• In the cell below the redemption amount, enter the XIRR formula in Excel: ="XIRR (B1:B14, A1: A14)*100" & press Enter.

Pro Tip: Double-check your data because Excel calculates cash flows in chronological order.

Also Read: How to Calculate XIRR for SIPs & Mutual Funds?

The following are the advantages of using an online XIRR calculator:

1. Get Accurate Returns

Unlike other calculators that assume you invest the same amount regularly, the XIRR calculator helps you calculate returns for investments where you put in different amounts at different times. It is perfect for SIP, mutual funds or any investment where the amounts and dates vary.

2. Understand Annual Growth

The XIRR return calculator shows you how much your investment has grown each year. It helps you see the return on your money on an annual basis, so you can track how your investment is doing over time.

3. Compare Your Investments

You can use the XIRR calculator to see how different investments are performing. It helps you figure out which investments are giving you the best returns.

4. Easy to Use

You can easily calculate XIRR using Excel built-in function or use online calculators like the MySIPonline XIRR Calculator. It’s quick and simple.

Using an XIRR return calculator online makes it easy to track your investments and understand how they are performing.