Credit spread profit & loss calculator.

Assumptions behind these results

This is a theoretical expiration payoff model for a defined-risk vertical credit spread. Read these assumptions before relying on any result.

• Standard 100-share multiplier. Each standard U.S. equity option contract is treated as 100 shares. Adjusted contracts, mini options, or a different deliverable are not supported.
• Defined-risk vertical spreads. Both legs are assumed to share the same underlying and expiration and to use the same option type: two puts for a bull put spread or two calls for a bear call spread. The calculator checks that the short strike is above the long put strike or below the long call strike.
• Expiration-only theoretical payoff. Results use intrinsic value at expiration. They do not model mid-trade marks, implied volatility, theta, bid/ask spreads, liquidity, or closing the spread before expiration.
• No early assignment modeling. Early assignment, exercise, pin risk, dividend risk, and stock delivery are not modeled. A short leg can be assigned before expiration, which can change the position and the result.
• Fees are one total dollar amount. Enter the combined commissions and fees for all fills. Per-contract fees must be added together first. Fees reduce maximum profit, increase maximum loss, and are included in breakeven.
• No taxes, dividends, interest, or slippage. These items are excluded. The model is educational and is not investment, tax, or legal advice.

Actual results can differ materially from these theoretical values. Confirm contract specifications, fees, and assignment risk with your broker.

How the calculator works

The strike width is the absolute difference between the short and long strikes. The gross credit is the net credit per share multiplied by the contract count and the 100-share multiplier. Fees are then subtracted from profit or added to loss.

Bull put spread

• Maximum profit = net credit × contracts × 100 − fees
• Maximum loss = (strike width − net credit) × contracts × 100 + fees
• Breakeven = short put strike − (net credit − fees ÷ (contracts × 100))
• Expiration P&L = net credit × contracts × 100 − fees − max(0, short put strike − underlying price) × contracts × 100 + max(0, long put strike − underlying price) × contracts × 100

Bear call spread

• Maximum profit = net credit × contracts × 100 − fees
• Maximum loss = (strike width − net credit) × contracts × 100 + fees
• Breakeven = short call strike + (net credit − fees ÷ (contracts × 100))
• Expiration P&L = net credit × contracts × 100 − fees − max(0, underlying price − short call strike) × contracts × 100 + max(0, underlying price − long call strike) × contracts × 100

The calculator rejects a credit that is at or above the strike width, a strike order that does not match the selected spread, non-whole contracts, and fees that consume the entire gross credit. Those inputs would produce a misleading risk/reward result rather than a valid defined-risk credit spread.

Worked example: 100/95 bull put spread

Suppose you sell one 100-strike put and buy one 95-strike put for a net credit of $0.80 per share, with total fees of $4.00.

• Strike width: $5.00
• Gross credit: $0.80 × 1 × 100 = $80.00
• Maximum profit: $80.00 − $4.00 = $76.00
• Maximum loss: ($5.00 − $0.80) × 1 × 100 + $4.00 = $424.00
• Breakeven after fees: $100.00 − ($0.80 − $0.04) = $99.24
• Risk/reward: $424.00 ÷ $76.00 = 5.58 : 1

At expiration, this fictional spread would earn the maximum $76.00 at or above $100, lose the maximum $424.00 at or below $95, and cross breakeven at $99.24. These inputs are illustrative, not a trade recommendation.

Related guides

For the spreadsheet arithmetic, read how to calculate credit spread profit and loss in Excel. To record multi-leg positions, see how to track credit spreads and iron condors in Excel and the options trading journal checklist. If you roll a position, read how to track rolled options in Excel. Browse the stock and options tracking desk for related workbooks.

Frequently asked questions

What is the maximum loss on a credit spread?

For a defined-risk vertical credit spread, the theoretical maximum loss at expiration is the strike width minus the net credit, multiplied by 100 shares per contract and the number of contracts, plus fees. The calculator shows this amount after any fees you enter.

Does the calculator include commissions and fees?

Yes. Enter total commissions and fees for the whole trade in dollars. Fees reduce maximum profit, increase maximum loss, and lower the after-fee breakeven. Leave the field blank to calculate before fees.

What does the 100-share multiplier mean?

A standard U.S. equity option contract usually represents 100 shares. A $0.80 credit is therefore $80 per contract before fees. Adjusted contracts or different multipliers are not supported, so confirm your contract specifications.

Does the calculator model early assignment or exercise?

No. Results are theoretical expiration-only payoffs for spreads held to expiration. Early assignment, exercise, pin risk, dividends, liquidity, and closing before expiration can change the actual outcome.

What is the breakeven price after fees?

For a bull put spread, subtract the net credit per share after fees from the short put strike. For a bear call spread, add it to the short call strike. This is the underlying price at which the expiration payoff is approximately zero after fees.

Is a credit spread risk-free?

No. A defined-risk spread caps theoretical loss at expiration if both legs are held and the long option does its job, but assignment, execution, liquidity, and closing costs can still create different results. The calculator is educational and not investment advice.

This calculator is provided for education. It does not recommend a security, strategy, or trade and does not account for your circumstances.