Our simple and easy to use stock profit calculator allows you to quickly see the profit or loss from the sale of stock. You can also run few a number of different scenarios to see the impact of a changing stock price will have on your bottom line. The stock calculator requires four quick inputs from you.
Using The Stock Calculator – User Inputs
- Purchase Price: The purchase price is the average price paid per a share. (most online brokerage companies now have the buying commission figured into the average price per a share).
- Shares: Enter the total number of shares.
- Selling Price: This can be the price you plan on selling at or the current stock price.
- Commission: When buying and selling stock investments most companies change a fee to make this transaction on the stock market. You’ll want to included the selling and buying commission.
- Once you have entered the information above click the update button.
Stock Return Calculator – Output
After clicking the update button the cool calculates the return. Now you’ll be able to see your return on investment . The stock profit or stock loss will have already subtracted out any buying and selling commission. Stock calculator takes the sale price and subtracts the purchase price and times that by the shares of stock.
Dealing With Stock Profits and Losses Taxes
When buying and selling equities keep in mind the tax laws. The stock calculator will also calculate the amount of capital gains tax that will need to be paid. This rate will depend upon how long you have held the stock. For example if you buy and sell equity within a period greater than one year then the profits will be consider long-term capital gains. On the other hand if it is less than one year it will be consider a short term capital gain. You can read more about short-term vs long-term capital gains. The good new is, if you have a loss you are able to write that off on your taxes at the end of the year (up to $3,000 a year).
Stock Market Investment Advice
The stock profit calculator is a great tool to see what your profit or loss is at the selling share prices. When investing in the stock market it’s important to keep in mind what your objectives are. Profits can quickly turn into loses when you’re investing in individual stocks (equities). Here are a few things to consider.
- Is this investment long-term or short-term investment?
- Are you willing to sell for a loss?
- How risk adverse are you?