Roll vs Close Options Calculator
Roll, close, or take assignment: compare all three.
Not financial advice. All results are estimates based on the prices you enter. This tool does not use real-time market data: check live quotes with your broker before you trade.
What rolling adds vs. letting the put ride
Credit roll+$150
- Net roll credit
- +$150
- Time value you buy back
- $0.50
- Break-even after roll
- $91.50
$7.00 new − $5.50 buy-back
intrinsic $5.00 / share
stock price at new expiry
Rolling is a $150 credit and comes out $150 ahead of letting the put ride if the stock stays at $90.00. That's 1.58% more on $9,500, about 16.5% annualized for 35 more days of risk. Only $0.50 a share of the buy-back is time value, so you're mostly paying for intrinsic value you'd give up anyway.
Your three choices, side by side
Total profit on the whole trade (every premium), if the stock is still $90.00 at expiration.
| Choice | Profit | Assumes |
|---|---|---|
| Take assignment | −$300 | If the stock is still $90.00 at expiration: you buy 100 shares at $95.00, worth $90.00. |
| Buy to close | −$350 | You pay the buy-back price today and walk away. |
| Rollbest | −$150 | If the stock is still $90.00 at expiration, the new $95.00 put is still in the money. |
The roll in numbers
- Buy back current option
- −$550
- Sell new option
- +$700
- Net credit
- +$150
- Roll's best case (new option finishes your way)
- +$350
Not financial advice. Money Scale is not a broker, investment adviser or tax professional, and nothing here is a recommendation to buy or sell any security or option. These calculators are for education.
Estimates only. Every figure is a hypothetical estimate built from the numbers you type in. Results ignore taxes, bid-ask spreads, early assignment, margin requirements and anything else you don't enter. Annualized returns assume a trade could be repeated all year, which is not guaranteed. Past or hypothetical results don't predict future returns.
No real-time market data. These tools don't pull live stock or option prices. Quotes change constantly, so confirm current prices, premiums and fees with your broker.
Options involve risk and aren't suitable for every investor: a covered call or cash-secured put can still lose most of the stock's value. Read the OCC's Characteristics and Risks of Standardized Options before trading options.
Your numbers
What are you short?
$90.00
The put you're short
$95.00 strike
$2.00 / share
The ask price to close.
$5.50 / share
The put you'd roll into
$95.00 strike
35 days
1 contract
Next steps
A rolling options calculator answers the question every option seller faces when a trade goes in the money: roll it, close it, or let it be assigned? Enter the option you're short, what it costs to buy back, and the new option you'd sell. The calculator shows the net credit or debit of the roll, how much of the buy-back is time value, your new break-even, and the profit of all three choices priced the same way, at today's stock price, so the comparison is fair. It works for covered calls and cash-secured puts.
How this calculator works
- Choose whether you're short a cash-secured put or a covered call. For a call, enter what you paid for the shares (or your adjusted basis from the wheel tracker).
- Enter today's stock price and the current option: its strike, the premium you collected, and the ask price to buy it back now.
- Enter the option you'd roll into: new strike, new premium (the bid), and days to the new expiration.
- Read the headline: how much rolling adds or costs versus letting the option ride, if the stock stays where it is. A debit roll is flagged.
- Check the three-way table. If 'Take assignment' or 'Let shares be called' wins, rolling is just paying to stay in the trade.
net roll = (new premium − buy-back) × 100 × contracts − fees on both trades
time value bought back = buy-back − intrinsic value
put break-even after roll = new strike − (original premium + net roll per share)
roll edge = roll profit − ride profit (both at today's stock price)Intrinsic value is what the option would be worth if it expired right now: stock price − strike for a call, strike − stock price for a put (never below 0). When almost all of the buy-back price is intrinsic value, rolling costs you little extra; you're mostly paying for value you'd give up through assignment anyway. Annualized roll edge = (roll edge ÷ capital) × 365 ÷ new days.
- buy-back
- Ask price per share to close the current option
- new premium
- Bid per share for the option you'd sell
- intrinsic value
- How far in the money the current option is, per share
Frequently asked questions
What does it mean to roll an option?
Rolling is two trades at once: you buy back the option you're short and sell a new one, usually with a later expiration and often a different strike. Sellers roll to avoid assignment, to collect more premium, or to move a strike further from the stock price.
When should you roll a covered call?
Rolling tends to make sense when the call is in the money, most of its price is intrinsic value (little time value left to buy back), and you can roll out (and ideally up) for a net credit. If the only roll available is a debit, compare it with letting the shares go; you may be paying to keep a stock you'd be fine selling.
What is a credit roll vs a debit roll?
A credit roll collects more for the new option than it costs to buy back the old one. A debit roll costs money. Credit rolls add income and lower your break-even; debit rolls add cost. A debit roll on a covered call can still pay if moving the strike up adds more upside than the debit.
Should I roll or take assignment on a cash-secured put?
If you still want the shares at that price, taking assignment and then selling covered calls is often simpler. Rolling down and out for a credit lowers your buy price and buys time, but keeps your cash tied up longer. The calculator prices both at today's stock price so you can compare them evenly.
How do you calculate the net credit of a roll?
New option premium minus the cost to buy back the current option, times 100 shares per contract, minus commissions on both trades. Buy back at $5.50 and sell the new option for $7.00: a $1.50 a share credit, or $150 per contract.
Sources used in this calculator
Reviewed by the Money Scale editorial team. How we source our data
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