CAGR Calculator

Calculate compound annual growth rate from a starting value, ending value and time period, with growth-multiple, annualised return, scenario comparison and a printable investment or business-growth record.

Compound annual growth rateCAGR Calculator uses the declared inputs to produce a transparent default result. Starting value: 10,000 start; Ending value: 18,000 end; Time period: 5 years; Comparison annual rate: 8 %; primary comparison: 10,000 and 18,000.

Starting valuestartEnding valueendTime periodyearsComparison annual rate%

Live math canvas

Your numbers, formula and explanation together

CAGR Calculator: 28,013 annualised percent with growth multiple and benchmark comparison. CAGR Calculator uses the declared inputs to produce a transparent default result. Starting value: 10,000 start; Ending value: 18,000 end; Time period: 5 years; Comparison annual rate: 8 %; primary comparison: 10,000 and 18,000.

Formula applied

The exact method behind this answer

CalculationTime keeps the method visible so the number can be checked instead of blindly trusted.

CAGR = (ending value ÷ starting value)^(1 ÷ years) − 1. Growth multiple = ending value ÷ starting value. Comparison ending value = starting value × (1 + comparison rate ÷ 100)^years.

Apply the formulaCAGR = (ending value ÷ starting value)^(1 ÷ years) − 1. Growth multiple = ending value ÷ starting value. Comparison ending value = starting value × (1 + comparison rate ÷ 100)^years.28,013 annualised percent with growth multiple and benchmark comparisonCAGR Calculator uses the declared inputs to produce a transparent default result. Starting value: 10,000 start; Ending value: 18,000 end; Time period: 5 years; Comparison annual rate: 8 %; primary comparison: 10,000 and 18,000.

Your live breakdown

Current inputs in the calculation

These values come from the controls above and update when the calculator changes.

Starting value: 10,000 start
Ending value: 18,000 end
Time period: 5 years
Comparison annual rate: 8 %

Resulting answer

28,013 annualised percent with growth multiple and benchmark comparison

CAGR Calculator uses the declared inputs to produce a transparent default result. Starting value: 10,000 start; Ending value: 18,000 end; Time period: 5 years; Comparison annual rate: 8 %; primary comparison: 10,000 and 18,000.

Answer: 28,013 annualised percent with growth multiple and benchmark comparison
Live support: CAGR Calculator uses the declared inputs to produce a transparent default result. Starting value: 10,000 start; Ending value: 18,000 end; Time period: 5 years; Comparison annual rate: 8 %; primary comparison: 10,000 and 18,000.

Assumptions used

What this answer assumes

Best for investment statements, revenue growth, website traffic, business metrics, classroom finance examples and board-pack notes where the period and endpoints need to stay visible.

Starting value must be greater than zero because CAGR divides by the starting value.
The calculator treats the start and end values as positive nominal values before taxes, fees, cash flows or inflation adjustments unless the user has already included them.
CAGR is a smoothed annual rate; it does not show volatility, drawdowns, sequence of returns or cash-flow timing inside the period.
The comparison annual rate compounds once per year for a simple benchmark scenario.
For investment, tax, accounting or legal decisions, confirm figures with the original statements and a qualified professional where needed.

Master’s Tip

How to use the result well

Master’s Tip: use CAGR to compare long-period growth rates, but do not mistake it for a year-by-year history. Print the start value, end value and years beside the CAGR so the smooth rate does not hide a bumpy path.

Printable record

What belongs in the saved calculation

Save the inputs, result, formula, assumptions, page URL and date together so the calculation can be reviewed later.

Starting value: 10,000 start
Ending value: 18,000 end
Time period: 5 years
Comparison annual rate: 8 %

Embeddable calculator

Embed this calculator

Copy a clean iframe version with the required CalculationTime attribution link built in.

Formula

CAGR = (ending value ÷ starting value)^(1 ÷ years) − 1. Growth multiple = ending value ÷ starting value. Comparison ending value = starting value × (1 + comparison rate ÷ 100)^years.

Worked example

If a value grows from 10,000 to 18,000 over 5 years, the growth multiple is 18,000 ÷ 10,000 = 1.8. CAGR = 1.8^(1 ÷ 5) − 1 = 12.47% per year, before any taxes, fees, inflation or cash-flow timing adjustments.

Professional note

Regional and unit assumptions

Standard or basis: compound annual growth rate using ordinary annual compounding arithmetic. This is a comparison and worksheet calculator, not financial advice, accounting treatment, tax guidance or a performance guarantee.

Assumptions and limitations

Starting value must be greater than zero because CAGR divides by the starting value.
The calculator treats the start and end values as positive nominal values before taxes, fees, cash flows or inflation adjustments unless the user has already included them.
CAGR is a smoothed annual rate; it does not show volatility, drawdowns, sequence of returns or cash-flow timing inside the period.
The comparison annual rate compounds once per year for a simple benchmark scenario.
For investment, tax, accounting or legal decisions, confirm figures with the original statements and a qualified professional where needed.

Methodology & Accuracy

How this calculator is checked

CalculationTime pages are built around visible arithmetic: the formula, assumptions, worked example and practical limitations are shown so the result can be checked rather than simply trusted.

Formula used

CAGR = (ending value ÷ starting value)^(1 ÷ years) − 1. Growth multiple = ending value ÷ starting value. Comparison ending value = starting value × (1 + comparison rate ÷ 100)^years.

Standard or basis

Where a calculator follows a named legal, trade or industry standard, that standard is cited visibly. Otherwise the page uses transparent general arithmetic and states its limits.

Master's Tip

Questions

How do I calculate CAGR?

Divide the ending value by the starting value, raise that ratio to 1 divided by the number of years, then subtract 1. Multiply by 100 to read it as a percentage.

What does CAGR mean?

CAGR means compound annual growth rate. It is the constant annual rate that would take the starting value to the ending value over the selected period.

Is CAGR the same as average annual return?

No. CAGR is a compounded annualised rate. A simple average of yearly returns can give a different answer when returns vary from year to year.

Can CAGR be negative?

Yes. If the ending value is lower than the starting value, CAGR is negative because the value shrank over the period.

What should I print for a CAGR comparison?

Print the starting value, ending value, years, CAGR, growth multiple, comparison annual rate, benchmark ending value, formula, assumptions, date, page URL and notes about the data source.

Calculation note

CAGR is popular because it compresses multi-year growth into one comparable annual rate. That simplicity is useful, but the printed record should keep the endpoints and time period visible so the rate is not read as a promise about each individual year.

CAGR is a smoothing tool

Real growth rarely happens in identical yearly steps. CAGR answers a controlled question: what steady annual rate would connect the starting value to the ending value over the selected time?

The starting value is the denominator

Because the formula divides by the starting value, the starting figure must be positive and meaningful. Mixing net and gross figures, or adding cash flows without adjustment, can make the CAGR misleading.

Printable comparisons prevent overclaiming

A useful CAGR record keeps the formula, endpoints, years, benchmark scenario and limitations together. That makes it suitable for classroom examples, board notes or preliminary investment comparisons without implying advice.

Sources and further readingU.S. SEC Investor.gov — Compound Interest Calculator CFI — CAGR Investopedia — Compound Annual Growth Rate