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MULTI-LEG OPTIONS STRATEGY

Butterfly Spread Calculator

Calculate a standard long call butterfly from live or manual option legs.

Live or manual option legs

Select a Schwab-backed contract or enter the strike and premium directly.

Long lower call · long 1×
Two short middle calls · short 2×
Long upper call · long 1×

Payoff summary

Expiration payoff for the complete position.

Net debit
$200.00
Maximum profit
$800.00
Maximum loss
$200.00
Lower break-even
$92.00
Upper break-even
$108.00

OPTIONS TRADE

MANUAL long call 90 12 / short call 100 6 / long call 110 2
Expiration
StrategyBUTTERFLY SPREAD
Contracts1 CONTRACT
Net debit200
MAX PROFIT800
MAX LOSS200

Risk and methodology

This assumes two short middle calls with the same strike. Payoff values are expiration-only and exclude fees and assignment effects.

How this calculator works

A long call butterfly buys lower and upper wing calls and sells two calls at the middle strike.

How to use it

Enter the lower wing, doubled middle strike, upper wing, and debit. Compare the target with the middle strike and both break-evens because the payoff is concentrated in a narrow expiration range.

Formula, payoff, and assumptions

Maximum profit is wing width minus debit; maximum loss is debit; break-evens are middle strike plus or minus the debit.

The payoff assumes two middle short calls and equal wing spacing where applicable. The narrow peak is an expiration result, not a forecast of the most likely settlement.

Practical example

A 90/100/110 call butterfly bought for $2 can return up to $8 per share at a $100 settlement.

Reading this result

The payoff is concentrated around the middle strike, not merely between the wings. Check the two break-evens to see how narrow the profitable expiration zone actually is.

Common planning mistake

Do not read the maximum profit as the expected outcome. It occurs only at or very near the middle strike at expiration, which is a specific settlement condition.

Risk and limitations

The payoff peaks in a narrow area around the middle strike. The debit can be lost if price finishes outside the wings.