# What is my ROAS?

Computes ROAS (return on ad spend) from ad revenue and ad spend, or the revenue or spend for a target ROAS, as a ratio and a percent.

- Page: https://www.acalculator.org/finance/roas-calculator
- JSON spec: https://www.acalculator.org/finance/roas-calculator.json
- Version: e19d3d6ef438

## Default answer

Example with the default inputs (Revenue from ads $20,000.00, Ad spend $5,000.00): $20,000.00 of revenue from $5,000.00 of ad spend is a ROAS of 4 (400%).

## Inputs

| Key | Label | Description |
| --- | --- | --- |
| revenue | Revenue from ads | The sales value the ads brought in. |
| spend | Ad spend | What the ads cost. |
| roas | ROAS | Revenue ÷ ad spend: 4 means $4 of revenue for each $1 spent. |

## Outputs

| Key | Label | Description |
| --- | --- | --- |
| revenue | Revenue from ads | The sales value the ads brought in. |
| spend | Ad spend | What the ads cost. |
| roas | ROAS (ratio) | Revenue for each $1 of ad spend. |
| percent | ROAS (percent) | Revenue ÷ ad spend × 100. |
| net | Revenue minus ad spend | What is left of the ad revenue after paying for the ads, before any other costs. |

## Method

ROAS = revenue ÷ ad spend; ROAS % = ROAS × 100; revenue = ROAS × ad spend; ad spend = revenue ÷ ROAS.

## Assumptions

- The revenue is what the ads brought in, before the cost of the goods sold and other costs.
- Arithmetic is exact on the typed decimals; results round once for display, halves up.

## Worked examples

1. revenue = $5.00, spend = $1.00 gives roas = 5, percent = 500%, net = $4.00. Source: Google Ads Help, "About Target ROAS bidding" ($5 in sales ÷ $1 in ad spend × 100% = 500% ROAS). https://support.google.com/google-ads/answer/6268637.
2. roas = 4, spend = $2,500.00 gives revenue = $10,000.00, percent = 400%. Source: Google Ads Help, "About Target ROAS bidding" ($5 in sales ÷ $1 in ad spend × 100% = 500% ROAS). https://support.google.com/google-ads/answer/6268637.
3. revenue = $12,000.00, roas = 3 gives spend = $4,000.00, net = $8,000.00. Source: Google Ads Help, "About Target ROAS bidding" ($5 in sales ÷ $1 in ad spend × 100% = 500% ROAS). https://support.google.com/google-ads/answer/6268637.
4. revenue = $1,000.00, spend = $3,000.00 gives roas = 0.333333, net = -$2,000.00. Source: Google Ads Help, "About Target ROAS bidding" ($5 in sales ÷ $1 in ad spend × 100% = 500% ROAS). https://support.google.com/google-ads/answer/6268637.

## FAQ

### What is ROAS?

ROAS, return on ad spend, is the revenue an ad campaign brings in for each dollar it costs. A ROAS of 4 (or 400%) means $4 of sales for every $1 of ads.

### How do I calculate ROAS?

Divide the revenue from the ads by the ad spend. $5 of sales from $1 of ads is a ROAS of 5. Multiply by 100 for a percent: 500%.

### What is a good ROAS?

A ROAS above 1 means the ads brought in more revenue than they cost, but that revenue still has to pay for the goods and other costs. The ROAS you need depends on your margins: the lower your margin, the higher the ROAS you need to make a profit.

### What is the difference between ROAS and ROI?

ROAS compares revenue with ad spend only. ROI (return on investment) compares profit with the whole cost, so it takes off the cost of the goods and other expenses. A campaign can have a ROAS above 1 and still lose money.

### How much revenue do I need for a target ROAS?

Multiply the target ROAS by the ad spend. For a ROAS of 4 on a $2,500 budget, the ads must bring in 4 × 2,500 = $10,000.

### How do I write ROAS as a percent?

Multiply the ratio by 100. A ROAS of 3 is 300%, and a ROAS of 0.5 is 50%. Google Ads target ROAS bidding uses the percent form.

## Sources

- Google Ads Help, "About Target ROAS bidding": $5 in sales ÷ $1 in ad spend × 100% = 500% target ROAS. https://support.google.com/google-ads/answer/6268637 (retrieved 2026-10-05)
