Credit Spread Calculator

Calculate the cash needed, expected profit, rate of return, and break-even point for bull put spreads and bear call spreads.

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Enter your trade details

Choose your spread type, fill in all five fields, then click Calculate.

How to use this calculator

  1. Choose Bull Put Spread (bullish — sell a put, buy a lower put) or Bear Call Spread (bearish — sell a call, buy a higher call)
  2. Enter the number of contracts (1 contract = 100 shares)
  3. Enter the strike price bought and the ask premium you pay for it
  4. Enter the strike price sold and the bid premium you receive for it
  5. Click Calculate to see your cash requirement, profit, return, and break-even
1 contract = 100 shares
The strike price of the option you are buying (your protection)
The premium per share you pay for the option you buy
The strike price of the option you are selling (collects the premium)
The premium per share you receive for the option you sell

Your results

Results appear here after you click Calculate.

Enter your trade details and click Calculate to see your results.
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Disclaimer: This calculator is provided for educational and informational purposes only and does not constitute investment advice or a recommendation to buy or sell any security. Results are estimates based on the figures you enter and do not account for commissions, fees, taxes, assignment risk, or early exercise. Options trading involves substantial risk and is not suitable for all investors. Past performance is not a guarantee of future results. Always do your own research or consult a licensed financial advisor before making investment decisions. IncomeTrader.com is not responsible for any trading or investment decisions made based on this tool.