Updated
Using Payback period calculator
Simple payback period = initial investment ÷ constant net cash inflow per period.
Assumes equal inflows and does not discount money over time. Uneven or negative future cash flows need a cash-flow schedule.
A worked example
With initial investment = 12000, net cash inflow per period = 3000, the simple payback periods is 4.
Before you use the result
Assumes equal inflows and does not discount money over time. Uneven or negative future cash flows need a cash-flow schedule.
Example results for initial investment
These examples use Net cash inflow per period: 3000. They are reference calculations, not recommended settings.
| Initial investment | Simple payback periods |
|---|---|
| 6000 | 2 |
| 12000 | 4 |
| 24000 | 8 |
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ToolOctopus. “Payback period calculator.” Updated 2026-09-26. https://tooloctopus.com/payback-period-calculator.
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