Payback period calculator

Enter the investment and the cash it brings in each year — for example from solar panels, a machine or a business project. The calculator shows when it has paid for itself.

Last updated: · By · About & Methodology

Payback period calculator
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Payback period

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How is it calculated?

Payback = investment ÷ yearly cash flow

Discounted payback values future money less, using your discount rate, so it is always longer — and more realistic for long projects.

Common questions

What is a good payback period?

Many businesses look for under 3–5 years; home energy projects often accept 7–10.

What does payback ignore?

Everything after the payback point. Use NPV or IRR for a full picture.

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