Enter the total investment value and the annual yield into the calculator to determine the annual income from the investment.

## Income Investing Formula

The following formula is used to calculate the total income from an investment:

I = TI * AY
• Where I is the investment income ($) yearly • TI is the total investment amount ($)

## Example Problem

How to calculate investment income?

1. First, determine the total amount invested.

For this example problem, the total amount invested is $5000.00. 2. Next, determine the yield of the investment. This money was invested in an index fund that returns 10% annually. 3. Finally, calculate the income from investing. Using the formula above the income from investing is found to be: I = TI * AY I =$5000 * (10/100)
I = \$500.00 income annually.