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Working Capital Calculator

Find the difference between current assets and current liabilities.

Use a consistent reporting periodCheck the calculation below

Your business figures

Runs on your device

METRIC SNAPSHOT

Your result

Let’s calculate.

Use the Calculate button to see your result.

Review the method below for assumptions and conventions.

How to use this tool

  1. Enter current assets, current liabilities.
  2. Select Calculate to view the result.
  3. Check the method and assumptions below before using the result.

The method, explained

Working capital = current assets − current liabilities. Use balances from the same accounting date and currency.

A WORKED EXAMPLE

Current assets of 80,000 less current liabilities of 50,000 give working capital of 30,000.

What to keep in mind

This balance-sheet measure is not the same as cash available. Classification, liquidity and collection timing matter.

Common questions

Can working capital be negative?

Yes. That means current liabilities exceed current assets under the classifications you supplied.

Does inventory count as cash?

No. Inventory can be a current asset but generally needs to be sold and collected before it becomes cash.

Methodology maintained by ClarityKit. How these tools are built and checked.