Free tool
Retained earnings calculator
Roll retained earnings forward for the year.
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How it works
How it works
Ending retained earnings = beginning retained earnings + net income (or minus a net loss) - dividends or owner distributions.
FAQ
About this calculator
What are retained earnings?
The profits a business has kept rather than paid out to owners, built up over the years.
Can they be negative?
Yes. A negative balance, sometimes called an accumulated deficit, means cumulative losses and payouts exceed cumulative profits.
How does this connect to closing entries?
At year end the income and expense accounts are closed into retained earnings. See our guide on closing entries and retained earnings.
Is anything saved?
No. The math runs in your browser and nothing you enter is sent to us.
Is this tax or financial advice?
No. It is a calculator for general information. Check the numbers against your own records, and ask an accountant before you act on them.
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General information, not tax or legal advice. How we write and check our tools.