Finance

Payback Period Calculator

How long until an investment pays for itself.

Result
3.33 yr
Simple payback period
In months
40.0
Recovers
$6,000.00 / yr

Compute the simple payback period for an investment given a constant annual cash flow.

How it works

Payback = Initial investment / Annual cash flow.

Example

$20,000 investment, $6,000/yr → 3.33 years.

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