Cash Back Calculator
Calculate how much cash back you earn from your credit card spending. Enter your monthly spending, cash back rate, and annual fee to see your total rewards and whether a premium card pays for itself.
Cash back credit cards return a percentage of your spending as a statement credit or direct deposit. The most common structures are flat-rate cards (1.5-2% on everything) and category cards (3-5% on rotating or fixed categories like groceries, dining, or gas, with 1% on everything else).
Whether a card with an annual fee is worth it depends on your spending. A card with 2% cash back and a $95 annual fee requires $4,750 in annual spending ($396/month) just to break even with a free 0% card. At $2,000/month spending, the 2% card earns $480/year minus $95 fee = $385 net -- compared to $360/year from a free 1.5% card. The premium card wins by $25, but only if your spending is high enough.
To maximize cash back, use category-specific cards for your highest spending areas (groceries, gas, dining) and a flat-rate card for everything else. Many people carry 2-3 cards to optimize rewards across categories. Just make sure to pay the full balance each month -- credit card interest rates of 20-25% will quickly erase any cash back earnings.