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Cash-secured put calculator

Estimate the cash required, premium return and breakeven when selling a put backed by cash.

Premium income
$199.34
Annualized
24.25%
Breakeven
$98.01

Inputs

Expires Fri, Oct 23

Results

Premium income
$199.34
Annualized
24.25%
Return on capital
1.99%
Premium / day
$6.64
Net premium spread over the days to expiration — the fairest way to compare expiries.
Capital secured
$10,000
Breakeven
$98.01
Downside protection
2%
How far the stock can fall from the current price before the trade loses money at expiration.
Max loss
-$9,800.66
Worst case if the stock falls to $0 by expiration (puts are floored at zero).

Payoff at expiration

Net P&L by underlying price

Probabilities & Greeks

IV 19%· from premium

Probability

Probability of profit
63.4%
Chance the trade is profitable at expiration (price beyond breakeven), assuming a lognormal price with no drift.
Prob. of assignment
51.1%
Chance the short put finishes in the money and shares are assigned.
Expected move (1σ)
± $5.45
One standard-deviation move by expiration: spot × IV × √(days/365). Price stays within ±1σ ~68% of the time.
1σ price range
$94.55 – $105.45

Greeksshort put, from your side of the trade

Position delta (Δ)
0.46
Share-equivalent exposure of the short position, per share. Positive for a short put, negative for a short call.
Theta / day
$3.04
Premium decay you collect per calendar day, all else equal.
Gamma (Γ)
-0.0728
Position gamma: how fast delta moves per $1 in the underlying. Negative for a short option.
Vega / 1%
-$11.39
Position value change per 1-point move in implied volatility — negative for a short option: rising IV hurts.

Fair value and edge need a market IV — add one under Advanced. With an IV backed out of your own premium they would read ≈ $0 by construction.

Probabilities assume a lognormal price with zero drift; Greeks and fair value use Black-Scholes at the risk-free rate. Estimates only — not a guarantee.

Scenario analysis

MovePriceP&LReturn
-20%$80-$1,801-18%
-10%$90-$801-8%
-5%$95-$301-3%
Breakeven (-2%)$98.01$00%
Flat$100$1992%
5%$105$1992%
10%$110$1992%
20%$120$1992%

Net P&L at expiration if the underlying moves by each amount from the current price (or strike). The breakeven row shows the exact move that flips the trade.

Common questions

How much cash secures the put?
For a standard 100-share contract, the model uses strike price × 100 per contract. Broker requirements can differ. Assignment means buying the shares at the strike.
Can a cash-secured put lose money?
Yes. If the shares fall below your breakeven, losses can exceed the premium. The maximum-loss estimate assumes the shares become worthless; taxes are excluded.

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