Free Cash Flow Calculator
Use the Free Cash Flow Calculator with your own values for EBIT, Tax rate, Depreciation and amortization, Capital expenditures, Change in net working capital, and Other cash-flow adjustments. It reports After-tax operating profit, and Free cash flow, shows the formula and worked example, and does not fetch live market or account data.
How to use this calculator
Enter EBIT, Tax rate, Depreciation and amortization, Capital expenditures, Change in net working capital, and Other cash-flow adjustments.
Review the model boundary before calculating: Accounting classifications and free-cash-flow definitions can differ across issuers and reports.
Read After-tax operating profit, and Free cash flow, then compare the result with the cited source and governing product terms.
Formula
Formula used: FCFF = EBIT × (1 − T) + D&A − CapEx − ΔNWC + Other. Percentages are converted to decimals before calculation.
Worked example
Example: with EBIT = 1,000, Tax rate = 25%, Depreciation and amortization = 120, Capital expenditures = 200, and Change in net working capital = 50, the calculated Free cash flow is 620.
Assumptions and limits
- Accounting classifications and free-cash-flow definitions can differ across issuers and reports.
- Use normalized, comparable accounting inputs from the same reporting period.
- This educational estimate is not investment, tax, accounting, or legal advice.
Sources
- New York University Stern School of Business: Valuation ResourcesDividend, cash-flow, and relative valuation methods and their assumptions. Reviewed 2026-08-24.
- OpenStax, Rice University: Principles of Finance 2e — Operating Cash Flow and Free Cash Flow to the FirmOfficial formula or method source used by this calculator. Reviewed 2026-08-24.
- Aswath Damodaran, New York University Stern School of Business: Variables Used in the Data Set — Free Cash Flow to Firm (FCFF)Official formula or method source used by this calculator. Reviewed 2026-08-24.
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Verification
How this calculator is checked
Trust comes from reproducible evidence, not model confidence. You can inspect the formula, assumptions, worked example, and cited sources on this page.
- Versioned calculationFormula logic is kept separate from the interface and covered by automated registry and behavior checks.
- Cited evidenceSources linked for independent checking: 3.
- Transparent AI useAI may assist drafting or adversarial review. Agreement between models is not proof, and no human expert review is claimed unless a named reviewer is shown.
Frequently asked questions
How does the Free Cash Flow Calculator work?
Formula used: FCFF = EBIT × (1 − T) + D&A − CapEx − ΔNWC + Other. Percentages are converted to decimals before calculation.
What should I enter in the Free Cash Flow Calculator?
Enter EBIT, Tax rate, Depreciation and amortization, Capital expenditures, Change in net working capital, and Other cash-flow adjustments using one consistent currency and time basis.
What should I verify before using the Free Cash Flow Calculator result?
Verify these limits: Accounting classifications and free-cash-flow definitions can differ across issuers and reports. Use normalized, comparable accounting inputs from the same reporting period. This educational estimate is not investment, tax, accounting, or legal advice.
Last updated 2026-08-25 · fcff-nopat-delta-nwc-v1 · content-2026-08-24 · Published by YunFanLabs