How to Use the Covered Call Calculator

1. Enter the stock price and your cost basis. 2. Enter the call strike, premium and days to expiration. 3. Read the results: premium return, return if the shares are called away, break-even price and annualized return.

Compare a few strikes. A closer strike pays more premium but is more likely to be called away; a farther strike keeps more upside. The P&L chart shows the result at every stock price at expiration.

Results are educational estimates from standard formulas, not investment advice. Live prices, fees and your broker's rules can change the outcome.