Compare a nearer-dated short option with a farther-dated option at the same strike.
Live or manual legs
Select available Schwab-backed contracts or enter values manually.
Short nearer-dated option · short 1×
Long farther-dated option · long 1×
Strategy summary
Modeled outputs depend on IV and time value.
Net debit
$200.00
Current leg-value difference
$2.00
Scenario value
—
Maximum profit
—
OPTIONS TRADE
MANUAL short call 100 3 2026-10-16 / long call 100 5 2027-01-15
Expiration
StrategyCALENDAR SPREAD
Contracts1 CONTRACT
Net debit200▲
MODELED VALUEModel-dependent▲
MAX PROFITModel-dependent▲
OPTIONS TRADE
MANUAL short call 100 3 2026-10-16 / long call 100 5 2027-01-15
Expiration
StrategyCALENDAR SPREAD
Contracts1 CONTRACT
Net debit200▲
MODELED VALUEModel-dependent▲
MAX PROFITModel-dependent▲
Risk and limitations
Calendar-spread value and maximum profit are model-dependent because time value and implied volatility can change before either expiration.
How this calculator works
A calendar spread sells a nearer-dated option and buys a farther-dated option, usually at the same strike.
How to use it
Enter the near-term short option and the later-dated long option at the same strike by default. Treat the future value as a scenario: hold the price, time, and implied-volatility assumptions explicit because there is no fixed maximum profit before expiration.
Formula, payoff, and assumptions
Net debit is long premium minus short premium. Future value is model-dependent because both time value and implied volatility change.
Calendar values are model-dependent because the near and far expirations retain different amounts of time value. There is no fixed maximum profit that can be stated from strikes and debit alone.
Practical example
Buying a January call for $5 and selling an October call for $3 creates a $2 debit before fees.
Reading this result
The displayed debit is known at entry, but the later value depends on what remains in the longer-dated option after the short option’s expiration. This is why a fixed maximum profit is not shown.
Common planning mistake
Do not assume matching strikes make a calendar neutral to volatility. A change in implied volatility can affect the longer-dated and nearer-dated legs differently.
Risk and limitations
Maximum profit is not deterministic. IV, time decay, and the value of the remaining long option drive results.
