Vertical Spread Payoff Calculator
A vertical spread is a defined-risk, two-leg options position used to express a directional view at lower cost than a single option. This calculator handles all four flavours: bull call and bear put (debit spreads) and bull put and bear call (credit spreads). Enter the two strikes, the net debit or credit per share and the multiplier to see maximum profit, maximum loss, breakeven and profit or loss at any expiration price.
Vertical spread payoff formula
Width = | strike B - strike A |
Debit spread (bull call / bear put):
Max profit = (width - debit) * multiplier
Max loss = debit * multiplier
Credit spread (bull put / bear call):
Max profit = credit * multiplier
Max loss = (width - credit) * multiplier
P/L at expiry uses the two option intrinsic values at price P, netted against the debit or credit, times the multiplier.
Enter the premium as a positive number. The spread type tells the calculator whether it is a debit (you pay) or a credit (you receive), and which leg is the long option.
Worked example
Bull call spread: long 100 call, short 105 call, net debit $2, multiplier 100. Width is 5. If the underlying closes at $105 (at or above the short strike), the spread reaches full width: P/L = (5 - 2) * 100 = $300.00, which is also the maximum profit. Maximum loss is 2 * 100 = $200.00, hit at or below $100. Breakeven = 100 + 2 = $102.00.
Vertical spread: frequently asked questions
What is a vertical spread?
A vertical spread buys one option and sells another of the same type and expiry but at a different strike. It is a two-leg, defined-risk position. A debit vertical (bull call or bear put) is paid for with a net debit; a credit vertical (bull put or bear call) collects a net credit.
How are max profit and max loss calculated?
For a debit spread: max profit = (strike width - net debit) * multiplier, max loss = net debit * multiplier. For a credit spread: max profit = net credit * multiplier, max loss = (strike width - net credit) * multiplier. Strike width is the absolute distance between the two strikes.
What is the breakeven of a vertical spread?
For a bull call spread it is the long call strike plus the net debit. For a bear put spread it is the long put strike minus the net debit. For a bull put spread it is the short put strike minus the net credit. For a bear call spread it is the short call strike plus the net credit.
Sources and method
- U.S. Securities and Exchange Commission investor education on options: Investor.gov: Options.
- Options Clearing Corporation: theocc.com.
- Payoff is the standard two-leg option expiration identity; no proprietary data is used.
Reviewed by the CalculatorHub team, edited by James Graham, 19 June 2026. See our methodology.