U.S. · Options
Options profit calculator.
Profit, loss and breakeven for a long call or long put at expiration, with a table of stock prices.
Your numbers
Result
Buying an option caps your loss at what you paid and, for a call, leaves the gain open. The catch is the breakeven: an option that finishes in the money can still lose money because the premium has to be earned back first. This calculator shows your profit or loss at expiration for any stock price you test, with the breakeven and the return on the money you put in.
How this is calculated
The Options Industry Council gives the payoff of the two long positions at expiration. For a long call, maximum loss is the premium paid, maximum gain is unlimited, and the breakeven is the strike plus the premium. For a long put, maximum loss is the premium paid, maximum gain is the strike minus the premium (the stock cannot fall below zero), and the breakeven is the strike minus the premium.
The tool values the option at expiration as its intrinsic value (stock price minus strike for a call, strike minus stock price for a put, never below zero) minus the premium paid, times 100 shares per contract, minus the total fees you enter. Return is profit divided by the total cost. Before expiration an option also has time value, which this page does not estimate, so the figures describe holding to expiration. Publication 550 adds the tax side: if an option you bought expires, its cost is a capital loss, and if you exercise a call you add its cost to the basis of the stock you buy. As of 2026-10-26, these are the formulas on the OIC long call and long put pages.
Worked examples (hypothetical figures, real formulas)
Two long calls. You pay $2.50 a share for two $60 calls, a total cost of $500.00 which is also your maximum loss. The breakeven is $60 + $2.50 = $62.50. At $65 the calls are worth $5 each and you make $500.00. At $70 you make $1,500.00, a 300.0% return. At $60 or below you lose the full $500.00, and at $62.50 you are about even.
One long put. You pay $1.80 a share for a $50 put, $180.00 in total. The breakeven is $50 - $1.80 = $48.20. If the stock falls to $40 you make $820.00. The most the put can ever earn is $4,820.00, reached if the stock goes to zero. At $55 the put expires worthless and you lose the $180.00 paid.
Mistakes people make
- Confusing "in the money" with "profitable". A call is only profitable above strike plus premium.
- Quoting the premium per contract. Quotes are per share; multiply by 100 for one contract.
- Using expiration payoff before expiration. Earlier, time value changes the price.
- Forgetting round-trip fees. Enter commissions for opening and closing or exercising.
Who this is for, and what it does not cover
It is for someone who has bought a single call or put and wants to see the result at expiration. It does not cover selling options, spreads or straddles, early exercise, adjusted contracts with a different multiplier, implied volatility or the Greeks, or taxes beyond the Publication 550 note above.
FAQ
How do you calculate profit on a call option?
At expiration, profit per share is the larger of (stock price minus strike) and zero, minus the premium you paid. Multiply by 100 shares and the number of contracts, then subtract fees.
What is the breakeven on a long call and a long put?
Strike plus premium for a call, strike minus premium for a put, according to the Options Industry Council.
What is the most I can lose buying an option?
The premium you paid plus fees. The Options Industry Council lists the premium paid as the maximum loss for both a long call and a long put.
Is the profit on a put unlimited?
No. The stock cannot fall below zero, so the maximum gain on a long put is the strike price minus the premium paid, times the shares.
Why does my option show a loss when the stock moved my way?
Either the stock has not passed the breakeven, which includes the premium, or time value has decayed before expiration. This calculator shows the expiration payoff only.
How is an expired option taxed?
Publication 550 says the cost of an option that expires is a short-term or long-term capital loss depending on how long you held it, with the holding period ending on the expiration date.
Sources
Retrieved 2026-10-26. Each link was opened and checked against the claim next to it.
- Options Industry Council: Long Call: maximum loss is the premium paid, unlimited gain, breakeven = strike + premium.
- Options Industry Council: Long Put: maximum gain = strike - premium paid, maximum loss = premium paid, breakeven = strike - premium.
- IRS Publication 550 (2025), Investment Income and Expenses: an expired option is a capital loss; an exercised call adds its cost to the stock basis.
Not tax or investment advice
This page is general information, not tax, legal, investment or financial advice. Rules, limits and rates change, and your facts may differ. Trading, options and margin can lose more than you expect. Confirm anything that matters with the IRS, a CPA, an enrolled agent or a registered adviser before you act. Everything runs in your browser; nothing you enter is sent anywhere.
Common mix-ups
-
Often assumedIf an option I bought expires worthless, the money is simply gone and there is nothing to report.
What the source saysIRS Publication 550 says that if an option you bought expires, its cost is a short-term or long-term capital loss depending on your holding period, which ends on the expiration date. It is reported on Form 8949 with Expired entered in the description column. [1]
Checked against these sources on .