What is XIRR Calculator?
Calculate XIRR for SIP investments and irregular cash flows to find your true annualized return rate Simply enter your values, and the calculator instantly computes accurate results using standard financial formulas. All calculations are performed entirely in your browser — nothing is stored or transmitted.
Formula Used
XIRR uses Newton-Raphson iteration to find the discount rate that makes the net present value of all cash flows (investments and redemptions) equal to zero. Each cash flow is weighted by its exact date.
How to Use This Calculator
- Add each SIP investment as a negative cash flow with its date
- Add the final redemption or current value as a positive cash flow
- The calculator iterates to find the XIRR automatically
- Use XIRR for SIPs, irregular investments, and portfolios with multiple inflows
- Compare XIRR across funds to find your best-performing investment
Worked Example
Monthly ₹10,000 SIP for 3 years (36 investments) | Current value: ₹4,85,000 → XIRR ≈ 18.5% (better than CAGR which ignores timing)
Why Use This Tool?
- Accurate return calculation for irregular investment schedules
- Industry-standard metric used in mutual fund statements
- Accounts for exact investment dates unlike simple CAGR
- Works for any combination of SIPs, lump sums, and withdrawals
Frequently Asked Questions
What is XIRR and why is it better than CAGR for SIP?
XIRR (Extended Internal Rate of Return) accounts for the exact timing of each cash flow. For SIPs, money invested later has less time to grow. XIRR correctly weights each installment by its investment date, unlike CAGR which only looks at start and end values.
How is XIRR different from IRR?
IRR assumes cash flows occur at equal periodic intervals (monthly, annually). XIRR works with cash flows on any irregular dates. For SIP investments where dates vary due to weekends and holidays, XIRR is more accurate than IRR.
What is a good XIRR for mutual fund SIP?
For equity mutual funds, 12-18% XIRR over 5-10 years is considered good. Small-cap and mid-cap funds in bull markets can show 20%+ XIRR. Debt funds typically show 7-9% XIRR. Compare to category benchmarks for context.
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