Spread and Commission Cost Calculator
Every trade pays the spread and, on many accounts, a commission. Over a month it adds up to more than most traders expect. This Spread and Commission Cost Calculator turns your trade count, average spread, commission, lot size and pip value into a monthly and yearly cost in money, as a share of your account, and in R multiples of your risk per trade.
Defaults to a GBP account. Nothing is sent anywhere. The output describes the inputs, it does not tell you what you will make or lose.
How to use it
- Trades per month, count each round trip once.
- Average spread, in pips, at the times you usually trade. Spreads widen at news and the open.
- Commission per lot, the round trip charge for one standard lot. Many brokers quote it per side, so double that figure.
- Lot size, your typical position in standard lots.
- Pip value, what one pip is worth per standard lot in your account currency.
- Risk per trade, so the cost can be shown as a multiple of what you risk.
Cost per trade is (spread × pip value × lots) + (commission × lots). Monthly cost multiplies by trades per month, yearly by twelve. The share of account divides by your balance. The R figure divides by balance × risk%.
FAQ
Why does spread count as a cost?
You buy at the ask and sell at the bid. The gap is paid the moment you enter, so every trade starts a little under water by the spread. Over many trades that gap is a real expense.
Is a raw spread account with commission cheaper?
Sometimes. Type your own numbers for each account type and compare the monthly total. The answer depends on your lot size, pair and trade count.
Why show the cost in R?
Because it puts costs on the same scale as your edge. If your monthly costs equal 3R and your expectancy is 0.2R per trade, you need at least fifteen trades a month just to cover them.
What about swaps and slippage?
They are not included. Overnight swaps and slippage vary with the pair, the time held and market conditions. Add an estimate to the commission field if you want a rougher all in figure.
Is my data stored?
No. The calculation runs in your browser. The share link only encodes the numbers you typed.
See also the free trading tools hub, the position size calculator and the expectancy calculator. Please read our risk disclosure.