Cash Back Calculator
Calculate credit card cash back rewards based on your spending. Compare category cards vs flat rate and maximize your rewards.
Formula:Cash Back = Spending × Rate
Cash Back Summary
Monthly Cash Back
$55
2.50% effective rate
Annual Cash Back
$660
No annual fee
Total Monthly Spending$2,200
First Year Value$860
vs Flat Rate Card+$22
Monthly Spending by Category
$600
02,000
3%
06
$200
0500
3%
06
$300
01,000
4%
06
$200
02,000
5%
06
$400
01,500
1%
06
$500
02,000
1%
03
Card Details
1.5%
12.5
Cash Back Breakdown
Category Breakdown
| Category | Monthly Spend | Rate | Monthly Cash Back | Annual Cash Back |
|---|---|---|---|---|
| Groceries | $600 | 3% | $18 | $216 |
| Gas | $200 | 3% | $6 | $72 |
| Dining | $300 | 4% | $12 | $144 |
| Travel | $200 | 5% | $10 | $120 |
| Online Shopping | $400 | 1% | $4 | $48 |
| Other | $500 | 1% | $5 | $60 |
| Total | $2,200 | 2.50% | $55 | $660 |
First Year Value
Annual Cash Back$660
Sign-Up Bonus+$200
Net First Year Value$860
Category Card vs 1.5% Flat Rate
Category Card
$55/mo
2.50% effective
1.5% Flat Rate
$33/mo
1.5% on everything
Category card earns $22/month more ($264/year)
Adjust Dining Spending
See how changing dining spending affects your total cash back rewards
$0$300$1,000
Personalized Insights
3 insights based on your inputs
Good News
Your category card earns $264 more per year than a 1.5% flat rate card
Good News
Excellent! Your 2.50% effective rate beats most premium cards
Good News
You'll earn the $200 sign-up bonus with your current spending
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Frequently Asked Questions
Cash back is a rewards program where you earn a percentage of your purchases back as cash. For example, 2% cash back on $100 gives you $2 back. Cash back can be redeemed as statement credits, direct deposits, or checks. It's essentially a discount on everything you buy.
Flat rate cards (1.5-2%) are simpler and good for general spending. Category cards (3-6% on specific purchases) reward more if your spending aligns with bonus categories. Calculate your spending patterns - category cards can outperform if you maximize bonus categories.
Divide the annual fee by your rewards rate to find break-even spending. For a $95 fee with 2% cash back, you need $4,750/year in spending to break even. Factor in perks (travel credits, insurance) when evaluating. Many premium cards offer value beyond cash back.
Most major card issuers don't expire cash back rewards as long as your account is open and in good standing. However, some store cards or promotional offers may have expiration dates. Always check your card's terms.
Yes! Maximize savings by stacking: use cash back card + coupons + store sales + cash back portals (like Rakuten). Some cards offer rotating 5% categories. You can also use the right card for each purchase type to optimize category bonuses.
How this works
Calculations are run entirely in your browser. No inputs are sent to our servers and no account is required. Formulas follow standard US definitions from the IRS and the CFPB where applicable; international users should confirm local tax and regulatory rules apply.
What this tool can’t do
When to consult a professional
This is a software engineering tool, not financial advice. Run the math here, then take the result to a certified financial planner, CPA, or your bank before making a decision that materially affects your money.
Sources
- [1]Consumer Financial Protection Bureau (CFPB)Official sourceconsumerfinance.govAccessed Apr 21, 2026
US consumer finance regulator; authoritative on mortgage disclosures, APR rules, credit cards.
Joseph OrdunaFounder & Software Engineer
Full-stack software engineer specializing in embedded systems, web architecture, and AI/ML. Founder of Practical Web Tools. Built the gesture-controlled drone IP acquired by KD Interactive (Aura Drone, sold on Amazon).
Cash Back Summary
Monthly Cash Back
$55
2.50% effective rate
Annual Cash Back
$660
No annual fee
Total Monthly Spending$2,200
First Year Value$860
vs Flat Rate Card+$22