Retention Ratio Calculator

This tool is used to calculate business retention ratio instantly.

Net Income ($)

Dividends ($)

Results

Retention Ratio = (Net Income - Dividends) / Net Income

Retention Ratio = (41.98 - 22.11) / 41.98

Retention Ratio = 0.47

Retention ratio is the proportion of earnings kept back in the business as retained earnings.

To calculate the Retention Ratio, use the following formula

Retention Ratio = (Net Income - Dividends) / Net Income

Example :

Mr. Google retained earnings totaled = $20000 for the financial period.

Mr. Google net income = $10000 for the same financial period.

Mr. Google Retention Ratio = 0.50

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