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Google Sheets

IRR function in Google Sheets

Calculates the internal rate of return on an investment based on a series of periodic cash flows.

=IRR(cashflow_amounts, [rate_guess])

IRR syntax and parameters

Two arguments, one required.

  • cashflow_amountsrangeRequired

    An array or range containing the income or payments associated with the investment. cashflow_amounts must contain at least one negative and one positive cash flow to calculate rate of return.

  • rate_guessnumberOptional

    [ OPTIONAL - 0.1 by default ] - An estimate for what the internal rate of return will be.

IRR examples

Formulas you'll actually reuse.

  1. The return of a project: −$50,000 today, then $15,000 a year for five years:

    =IRR(B2:B7)

    Result0.1524

  2. Rising cash flows as an array constant:

    =IRR({-50000, 12000, 15000, 18000, 21000})

    Result0.1098

IRR in Excel

Same name — your formula ports as-is.

Try IRR in the playground

Edit the example — nothing to install.

Preloaded with the IRR formula from Example 1 — change anything and watch it respond.

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IRR errors

What they mean — and the fixes.

  • #NUM!

    No sign change in the cash flows, or the search didn't converge — the first value must be negative; pass a guess if the flows are unusual.

Related functions

More ways Google Sheets gets this done.