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TIME-DEPENDENT OPTIONS STRATEGY

Calendar Spread Calculator

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

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.

Formula or payoff

Net debit is long premium minus short premium. Future value is model-dependent because both time value and implied volatility change.

Practical example

Buying a January call for $5 and selling an October call for $3 creates a $2 debit before fees.

Risk and limitations

Maximum profit is not deterministic. IV, time decay, and the value of the remaining long option drive results.