Cash Back Calculator

Calculate your annual cash back rewards from monthly spending and card rates.

Discount Details

0%90%

You Pay

₹1,500

Original Price₹2,000
You Save (25% OFF)₹500
Final Price₹1,500

Cash Back Calculator Formula & How It Works

Cash Back = Purchase Amount × (Cash Back Rate / 100) | Annual = Monthly × 12
  • Flat-rate: same % on all purchases (e.g. 1.5% everything)
  • Tiered/rotating: different % by category (e.g. 5% groceries, 1% all else)
  • Annual fee: subtract from total rewards for net benefit
  • Spending threshold: some cards require minimum spend for bonus

Cash back cards return a percentage of your spending as cash. Calculate total cash back by multiplying each category's spending by that category's rate. Subtract the annual fee to get net benefit. Compare net cash back to determine if upgrading to a premium rewards card is worth the annual fee.

Cash Back Calculator FAQs

How do I choose a cash back credit card?

Match the card's bonus categories to your biggest spending areas. Heavy grocery spenders: card with 5% grocery cash back. Frequent flyers: travel rewards. Diverse spenders: flat 2% card. Factor in annual fee — a ₹5,000 annual fee card needs to earn ₹5,000+ more than a no-fee card to be worth it.

Is cash back the same as rewards points?

No. Cash back is straightforward: you earn real money (credited to statement or redeemable). Rewards points require redemption — value varies (1–5 paise per point for travel, less for merchandise). Cash back is simpler and transparent; points can deliver higher value if used strategically.

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