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XIRR Calculator

Finance & Investment

Calculate XIRR for your mutual fund SIP, lumpsum, or portfolio with irregular cash flows. Get the true annualised return on any investment in seconds.

Cash Flow Entries

Enter each transaction — investments as outflows, redemptions and current portfolio value as inflows.

Date
Amount (₹)
Type

4 entries

XIRR (Annualised Return)

0.00%
Total Invested
₹0
Current Value
₹0
Total Gains
₹0
Absolute Return
0.00%

What is a XIRR?

The XIRR Calculator computes the Extended Internal Rate of Return — the true annualised return on an investment where cash flows occur at different dates and in different amounts. Every serious mutual fund investor in India needs to understand XIRR because standard returns like simple percentage gain or even CAGR fail to account for the timing of individual transactions. A ₹10,000 SIP invested over three years at irregular intervals is not the same as ₹30,000 invested as a lump sum — and XIRR captures that difference precisely.

XIRR is the rate r at which the Net Present Value of all your cash flows equals zero. Each investment outflow is negative, each redemption or the current portfolio value is positive, and the dates matter exactly. The calculation is inherently iterative — there is no algebraic shortcut — which is why having a calculator that runs the Newton-Raphson algorithm instantly is so useful.

For Indian investors, XIRR matters because most wealth is built through SIP (Systematic Investment Plans). A ₹5,000 monthly SIP over ten years involves 120 transactions on 120 different dates. The earliest instalments have compounded for ten years; the most recent barely started. Rolling up all of that into a single return figure that is comparable to a fixed deposit rate or an index benchmark is precisely what XIRR does. Platforms like Groww, Zerodha Coin, and Kuvera all report XIRR as your portfolio return because it is the only honest number.

XIRR also solves a specific Indian problem: mid-year lump sum top-ups during market dips alongside a running SIP. If you invested ₹1 lakh extra in March 2020 when markets fell 38% and your SIP continued uninterrupted, a simple average return calculation would not capture the outsized benefit of that timing. XIRR does. Similarly, if you started a SIP Calculator projection at 12% CAGR but your actual XIRR over five years is only 8%, the gap represents real underperformance worth investigating — not a rounding error.

How to use this XIRR calculator

  1. Enter the Date of your first transaction — click the date field in the first row and select the date you made your first investment. For a running SIP, this is the date of your very first instalment.

  2. Enter the Amount — type the investment amount in the Amount (₹) field. Always enter a positive number regardless of whether it is an investment or a return.

  3. Set the Type to "Investment" — the Type dropdown should be set to "Investment" for every outflow (money leaving your bank account to go into the fund).

  4. Click "+ Add Transaction" for each subsequent investment — add a new row for every SIP instalment, lump sum top-up, or additional investment. For a monthly SIP, you will have one row per month. For annual investments, you will have one per year.

  5. Add your final row for current portfolio value — in the last row, enter today's date, your current portfolio value (from your fund statement or app), and set Type to "Return / Value". If you have made any partial redemptions, add those as separate "Return / Value" rows with their actual redemption dates and amounts.

  6. Read the results panel — the XIRR percentage is shown prominently. Compare it against the benchmark return you expected (e.g., Nifty 50 XIRR or FD rate) and check the Total Gains and Absolute Return for the complete picture.

Formula & Methodology

XIRR finds the annualised rate r such that the Net Present Value of all cash flows discounted to the first transaction date equals zero.

XIRR formula:

Σ Cᵢ ÷ (1 + r)^(dᵢ − d₀) ÷ 365 = 0

Variable definitions:
- Cᵢ = cash flow at transaction i (negative for investments, positive for redemptions or current value)
- dᵢ = date of transaction i (in days since epoch)
- d₀ = date of the first transaction (the reference date)
- (dᵢ − d₀) ÷ 365 = time in years between d₀ and transaction i
- r = XIRR — the annualised rate being solved for

Solving method: Newton-Raphson iteration. Starting from an initial guess of r = 0.1 (10%), each iteration refines the estimate using:

r₍ₙ₊₁₎ = rₙ − f(rₙ) ÷ f′(rₙ)

Where f(r) is the NPV function and f′(r) is its derivative with respect to r. The iteration continues until the change in r between steps is less than 0.0000000001 (1 × 10⁻¹⁰), ensuring precision to many decimal places.

Worked example:

Suppose you invested ₹10,000 in a mutual fund SIP on three dates, and your current portfolio value is ₹38,000 on 13 June 2026:

| Date | Cash Flow |
|---|---|
| 01 Jan 2023 | −₹10,000 |
| 01 Jan 2024 | −₹10,000 |
| 01 Jan 2025 | −₹10,000 |
| 13 Jun 2026 | +₹38,000 |

- Total invested: ₹30,000
- Current value: ₹38,000
- Absolute return: (₹8,000 ÷ ₹30,000) × 100 = 26.67%
- Investment period: approximately 3.45 years (from 1 Jan 2023 to 13 Jun 2026)
- XIRR: ≈ 9.74% p.a. (solved iteratively)

The XIRR of 9.74% means your investment has grown at the equivalent of 9.74% per year compounded — far more informative than the raw 26.67% absolute return. To model what this portfolio could look like in ten more years if returns continue at a similar rate, use our CAGR Calculator to project the compounded outcome. To compare with a withdrawal strategy going forward, use the SWP Calculator to plan systematic redemptions from the same corpus.

Key assumptions:
- Year is defined as 365 days (no leap-year adjustment in the exponent)
- All cash flows use exact calendar dates as entered
- Investments (outflows) are entered as negative values internally; the UI converts "Investment" type entries to negative automatically
- The calculator tries six different initial guesses to avoid local minima during Newton-Raphson convergence
- XIRR is undefined if all cash flows have the same sign (all outflows or all inflows)
Frequently Asked Questions
What is XIRR in mutual funds?
XIRR (Extended Internal Rate of Return) is the annualised return on an investment where cash flows occur at irregular intervals. In mutual funds, it is the standard metric used by platforms like Zerodha Coin, Groww, and Kuvera to report portfolio returns, because SIP investments are made at different dates and amounts — making simple CAGR inadequate. XIRR accounts for the exact timing of each investment and redemption to give a single, accurate annualised return figure.
How is XIRR calculated for a SIP investment?
XIRR is calculated by finding the rate r that makes the Net Present Value (NPV) of all cash flows equal to zero: Σ Cᵢ ÷ (1 + r)^((dᵢ − d₀) ÷ 365) = 0, where Cᵢ is each cash flow (negative for investments, positive for redemptions), dᵢ is its date, and d₀ is the first cash flow date. Since this equation has no closed-form solution, it is solved iteratively using the Newton-Raphson numerical method. The result is an annualised percentage rate equivalent to the return earned per rupee per year.
What is the difference between XIRR and CAGR?
CAGR (Compound Annual Growth Rate) works for a single lump sum investment with a clear start value, end value, and time period — making it ideal for FD or single-equity returns. XIRR handles multiple cash flows at irregular dates, which is why it is used for SIP portfolios where money is invested in tranches on different dates. For a single lump sum, XIRR and CAGR give the same result; for any investment with multiple transactions, XIRR is more accurate. Use our [CAGR Calculator](/cagr-calculator/) for lump sum returns and this XIRR Calculator for portfolios with multiple transactions.
What is the difference between XIRR and absolute return?
Absolute return is the total percentage gain or loss on your investment regardless of how long it took — (Current Value − Total Invested) ÷ Total Invested × 100. It ignores time entirely, so a 30% gain over 10 years and a 30% gain over 2 years look identical. XIRR converts that gain into an annualised rate, making comparison across different time horizons and instruments meaningful. XIRR is always the right metric when comparing investments with different durations or cash flow patterns.
What does a negative XIRR mean?
A negative XIRR means your investment has lost money in annualised terms — the current portfolio value is less than the total amount invested, adjusted for time. This can happen during a market downturn or if you are evaluating an investment midway through a recovery cycle. A negative XIRR is not necessarily permanent; markets typically recover over longer horizons. If your XIRR is negative, it is worth reassessing whether to hold, redeem, or switch funds rather than making a panic decision.
What is a good XIRR for a mutual fund investment in India?
A XIRR below 6% is considered underperformance since it barely keeps pace with inflation. A XIRR between 8–12% is typical for balanced or debt-heavy portfolios. Equity mutual funds in India have historically delivered XIRR of 12–18% over 10-year SIP horizons, with flexi-cap and small-cap categories occasionally crossing 20% in bull markets. A XIRR above 15% sustained over 5+ years is considered excellent for a diversified equity portfolio.
What is the difference between XIRR and IRR?
IRR (Internal Rate of Return) assumes cash flows are evenly spaced — typically annually or monthly — and uses period numbers rather than actual dates. XIRR is an extension of IRR that uses exact calendar dates, making it accurate for real-world investments where transactions happen on arbitrary dates. For any practical investment analysis with real transaction dates, XIRR is always preferred over IRR. The underlying mathematical objective is the same: both find the discount rate that makes NPV equal to zero.
How do I use the XIRR Calculator?
Enter each transaction in the cash flow table: pick the transaction date, enter the amount (always as a positive number), and select whether it is an 'Investment' (money going in) or 'Return / Value' (money coming out or current portfolio value). Add all your investment dates with their amounts, then add a final row with today's date and your current portfolio value as a 'Return / Value' entry. The calculator instantly computes XIRR, total invested, current value, total gains, and absolute return.
Can I calculate XIRR for a SIP in Excel?
Yes — Excel has a built-in XIRR function: =XIRR(values, dates, [guess]), where values is a range of cash flows (negative for outflows, positive for inflows) and dates is the corresponding date range. The first cash flow must be negative (the first investment) and at least one must be positive (redemption or current value). While Excel works for static calculations, our XIRR Calculator gives you a real-time result as you type, without needing to set up a spreadsheet.
How do mutual fund platforms in India show XIRR?
AMFI (Association of Mutual Funds in India) guidelines recommend XIRR as the standard return metric for SIP portfolios. Platforms like Zerodha Coin, Groww, INDmoney, and Kuvera display XIRR as your portfolio's annualised return. Your Consolidated Account Statement (CAS) from CAMS or KFintech also includes XIRR for each fund. The figure in your CAS considers all your SIP instalments, lump sum top-ups, switch transactions, and the current NAV — identical to what this calculator computes if you enter the same transactions.
Is XIRR the same as the return shown in my Consolidated Account Statement?
Yes — the return percentage shown in your CAS (Consolidated Account Statement) from CAMS, KFintech, or NSDL is computed using the XIRR method, applied to all your buy, sell, switch, and dividend transactions along with the current NAV value. To cross-check your CAS figure, enter all the transactions listed in your statement into this XIRR Calculator with the current portfolio value as the final inflow. Minor differences may arise from dividend payouts or fractional unit rounding.
Can XIRR be used to compare NPS or PPF returns with mutual funds?
XIRR is the best way to compare instruments with different contribution patterns. For NPS, log your contribution dates and amounts as outflows, and use the current NPS account value as the final inflow to get a comparable XIRR. For PPF, do the same with each yearly deposit and the current maturity value. This lets you directly compare your NPS or PPF XIRR against your mutual fund SIP XIRR on an apples-to-apples basis. Use our [NPS Calculator](/nps-calculator/) to project future NPS value and then verify against actuals with XIRR.