What is the breakeven point in trading?

The breakeven point is the price at which you must sell a stock to cover all your costs, including the purchase price and all associated charges (brokerage, taxes, etc.). At this price, your net profit is zero.

What is STT (Securities Transaction Tax)?

STT is a direct tax levied on every stock market transaction. The rate varies depending on whether the trade is intraday or delivery-based. This calculator helps you factor it into your costs.

Why is my net profit so different from my gross profit?

Your gross profit is simply the difference between the buy and sell value. However, several small charges like brokerage, STT, exchange fees, and GST can add up and significantly reduce your final take-home profit. This calculator helps you see that 'hidden' cost.

Stock Brokerage Calculator

Currency

Trade Details

Buy Price per Share

Sell Price per Share

Quantity

Charges (in %)

Brokerage (%)

STT (on Sell Side)

Exchange Transaction Charge

GST (on Brokerage + Txn Charge)

Net Profit / Loss

Turnover

Gross Profit/Loss

Breakeven Price

Brokerage

STT

Other Charges (Txn + GST)

Total Charges

The Hidden Cost of Speed: From Ticker Tapes to Today

Imagine stock trading in the late 19th century. News traveled by telegraph, printed on long "ticker tapes." Brokers on the floor of the exchange would shout and use hand signals to execute trades. The cost of a single trade (brokerage) was enormous, often a significant percentage of the trade value itself. Only the wealthy could afford to play.

Today, you can execute a trade from your phone in milliseconds for a fraction of a penny. The cost of brokerage has plummeted, thanks to technology and discount brokers. However, this has been replaced by a series of smaller, often overlooked, government and exchange charges like STT, transaction fees, and GST. While they seem tiny, these "paper cuts" can add up and eat into your profits, especially for high-volume traders. This calculator is designed to shine a light on all those small costs, so you know exactly what your real, take-home profit is.

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Frequently Asked Questions

What is a breakeven point and why is it important for traders?

The breakeven point is the price per share at which you need to sell to cover your buying cost plus all associated charges. Any price above this is your profit. It's crucial because it tells you the minimum price movement you need just to avoid a loss.

Are these charges the same for intraday and delivery trading?

No, the charges can be different. For example, STT is typically much lower for intraday trading than for delivery-based trades. This calculator is pre-filled with common charges for delivery, but you should always check the exact rates with your broker and adjust the fields accordingly.

How is GST calculated?

GST (Goods and Services Tax) is not calculated on the total trade value. It's a tax on the *services* you use. Therefore, it is typically levied on the brokerage fee and the exchange transaction charges.