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Wheel cost-basis tracker
A wheel is several trades on one stock: puts until you are assigned, then calls until the shares are called away. The premiums from all of them lower what the shares really cost you, and it is easy to lose track. List the trades in the order they happened.
Scroll the table sideways for strike, premium and the running totals.
| Date | Trade | Qty | Strike | Premium / price | Fees | Cash | Shares | Adj. cost |
|---|
Qty is contracts for option trades and assignments, shares for share trades. For a dividend, enter the amount per share; it is applied to the shares you hold at that point. Premium and price are per share.
Option premium collected
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Shares held
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Price paid per share
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Adjusted cost per share
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Profit / loss
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Return on capital
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Why the adjusted cost matters
- Price paid per share is what you paid for the shares you hold (average cost, including fees).
- Adjusted cost per share nets every premium, buyback and dividend in the wheel against those shares: total cash out, less total cash in, divided by shares held. It is the price at which the whole wheel breaks even.
- Selling calls with a strike above your adjusted cost means that, if the shares are called away, the wheel as a whole makes money — even if the strike is below the price you originally paid. Below the adjusted cost, being called away locks in a loss.
- Return on capital uses the largest amount you had committed at once (the cash behind a put, or the cost of the shares) and the days from the first trade to the last.
What this tracker leaves out
- Interest earned on cash held as collateral, taxes and currency conversion.
- Options that expire worthless need no entry: the premium was already counted when you sold them.
- It tracks one stock at a time. For a whole portfolio of wheels, see Portfolio Manager, a free desktop app.
Other calculators
Need a stock to run the numbers on? The Screen lists companies that pass the wheel screen, and each has a profile.
Important: research and educational information only, not financial advice and not a recommendation to buy or sell any security or options contract. Figures come from public filings and third-party data and may be wrong or out of date. Options selling carries a real risk of substantial loss. See the full disclaimer.