Business & pro

Payback period

How long until solar panels, a machine or software pay for themselves?

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How it works

Payback = investment / (monthly gain − monthly costs). After that, everything it brings in is profit.

Results are for guidance only and do not replace professional advice.

Worked example

With the default values:

  • Investment9000
  • Monthly gain or saving180
  • Monthly running cost15

you get:

  • Pays back in4 years 7 months
  • In months54.5
  • Net gain over 10 years€10,800.00
  • Yearly return22 %

Frequently asked questions

How does the “Payback period” tool work?

Payback = investment / (monthly gain − monthly costs). After that, everything it brings in is profit.

What do I need to enter?

Just fill in: investment, monthly gain or saving, monthly running cost. The result updates as you type.

Can you give an example?

Investment: 9000; Monthly gain or saving: 180; Monthly running cost: 15 → Pays back in: 4 years 7 months; In months: 54.5.

Is this calculator free, and is my data private?

Yes. HOD Calc is completely free with no sign-up. The calculation runs in your browser: nothing you type is sent or stored.