YTD (Year-to-Date) Meaning | How to Calculate Year-To-Date Income?

What is YTD (Year-to-Date)?

(YTD) Year-to-date means the period beginning on the first day of the current year and ending on the current date. YTD information is important for scanning business trends over time and for comparing competitor data from the same industry.

How to Calculate Year-To-Date Income?

Below are the steps in order to calculate Year-To-Date Income:

1 – Gather Your Data: Your first step is to determine the actual value of your portfolio on January 1st and its current value.
2 – Insert Data into Formula: Plug in the above figure into the YTD format.
3 – Solve it to Obtain a Decimal Value: After you have checked that you copied the amount correctly, you can solve the equation.
4 – Convert Decimal into Percentage: The remaining amount is a decimal, but firms often use YTD data as a percentage because it shows the return generated for every dollar of the original investment. To decrypt it into a percentage, multiply this by 100, which will give you the output as a YTD value of 50%.
5 – Illustrate the Result: Once you have your YTD percentage, you can scan the portfolio’s return on investment (ROI).

Year-to-Date Calculation:

Below are the 2 steps on how you can calculate YTD:

Step 1—Using the EDATE Function: The EDATE function adds or subtracts the supplied number of months from a date and gives a serial number. What do you do with the serial number when you want a date?

Let’s move on to the formula of the EDATE function to add years to a date:

=EDATE (C3, (10*12))

With the dates in column C, the EDATE function assumes C3 as its working date. Next is the number of months that will be added to the date. In the above formula, we have entered 10* 12 to add twelve years instead of months.

Make sure to change the format of the target column to the date format you prefer.

Step 2: Custom Formula: If you are thinking about breaking down the formula, it is very much possible to add years to a date in Excel using the arithmetic formula.

=C3+(10*365)

365 years have been multiplied by 10, though we want to add 10 more years and have added that date in C3.

Also, See: Withholding Allowances