Finance and Business
Retained Earnings Calculator
Retained Earnings Calculator calculate ending retained earnings and retention and payout ratios from beginning balance, net income or loss, and dividends.
Finance and Business
Retained Earnings Calculator
Calculate ending retained earnings and retention and payout ratios from beginning balance, net income or loss, and dividends.
Formula
Ending retained earnings = beginning retained earnings + net income - dividends.
About the Retained Earnings Calculator
Calculate ending retained earnings and retention and payout ratios from beginning balance, net income or loss, and dividends.
How the Retained Earnings Calculator Works
The accounting roll-forward adds signed period income to the opening balance and subtracts declared dividends, then compares dividends and retained income with positive net income.
Formula
Ending retained earnings = beginning retained earnings + net income - dividends.
The calculation runs in your browser. Values are validated for required ranges, compatible units, and method-specific restrictions before results are displayed.
Required Inputs
- Beginning retained earnings (required).
- Net income or loss (required).
- Dividends declared (required).
Results Reported
The result panel reports the final answer and the intermediate quantities needed to check the calculation:
- Ending retained earnings (currency)
- Net income retained this period (currency)
- Retention ratio (%)
- Dividend payout ratio (%)
- Change in retained earnings (currency)
Retained Earnings Calculator Example
Select Example Data in the calculator to load this reproducible input set:
| Input | Example value |
|---|---|
| Beginning retained earnings | 250000 |
| Net income or loss | 80000 |
| Dividends declared | 20000 |
How to Use the Calculator
- Confirm that the calculator title and formula match the quantity you need.
- Enter every required value using the unit shown with its field.
- Select Example Data to inspect a valid input set, or enter your own values and select Calculate.
- Review all reported values and the displayed formula before using the answer.
- Use Copy Result or Download CSV when you need a reusable record.
Accuracy and Limitations
Use values from the same accounting period and reporting basis. Prior-period adjustments, appropriations, restatements, stock dividends, and currency translation may require separate entries.
Keep units consistent, use measurements that represent the actual situation, retain full precision during the calculation, and round only the final answer. Professional decisions may require current official rules, field measurements, laboratory methods, or specialist review.
Frequently Asked Questions
What does the Retained Earnings Calculator calculate?
Calculate ending retained earnings and retention and payout ratios from beginning balance, net income or loss, and dividends.
Which formula does the Retained Earnings Calculator use?
Ending retained earnings = beginning retained earnings + net income - dividends. The accounting roll-forward adds signed period income to the opening balance and subtracts declared dividends, then compares dividends and retained income with positive net income.
What should I check before using the Retained Earnings Calculator result?
Use values from the same accounting period and reporting basis. Prior-period adjustments, appropriations, restatements, stock dividends, and currency translation may require separate entries.