Margin Call Calculator
Find the price at which a leveraged position reaches its maintenance requirement, and how far that is from the entry.
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·Free · No sign-up · Runs in your browser
A margin call is a price, and it is calculable in advance. The reason it so often arrives as a surprise is that the move required is much smaller than the leverage figure suggests to most people - at four times leverage, a twenty percent adverse move in price wipes out four fifths of the equity.
This calculates the level for a long or a short position, along with the distance to it as a percentage and the cushion currently sitting above the requirement.
Result
Margin call price
37.78
- Move required
- 11.11%
- Move required
- 4.72
- Effective leverage
- 3:1
- Amount borrowed
- $60,000
- Current margin
- 33.33%
- Maintenance requirement
- 25%
- Equity cushion
- $7,500
- Equity at the call
- $20,000
This tool is for informational and educational purposes only. It is not financial or investment advice, and past performance does not guarantee future results.
A margin call is not the same as liquidation. Brokers differ in how much notice they give and some close positions automatically without any.
Maintenance requirements are set by the broker and can be raised without warning, particularly in volatile markets. The requirement you enter may not be the one applied when it matters.
Leverage multiplies the loss as well as the gain. A position at four times leverage reaches a maintenance threshold on a far smaller adverse move than most people expect.
How to use the margin call calculator
- Enter the total position value and your equity in it.
- Enter the maintenance margin requirement your broker applies.
- Enter the entry price and choose long or short.
- Read the move required as a percentage rather than as a price.
What people use this for
- Knowing the level at which a leveraged position is at risk before opening it.
- Checking whether a stop sits inside or outside the margin call level.
- Comparing the cushion at different leverage levels.
- Understanding why margin calls arrive on moves that feel small.
Worked examples
Every figure below is produced by running this calculator against the example inputs, so the numbers always match the tool.
A long position at three times leverage
$90,000 position on $30,000 equity, 25% maintenance, entry $42.50.
- Margin call price
- 37.78
- Move required
- 11.11%
- Equity cushion
- $7,500
A short position with the same equity
The level sits above the entry rather than below it.
- Margin call price
- 45.33
- Move required
- 6.67%
- Effective leverage
- 3:1
A stop inside the call level is the only version that works
If the margin call price is closer to the entry than the stop is, the stop is decorative. The position will be closed by the broker first, at whatever price is available at that moment.
Checking the two levels against each other before entering is a thirty-second exercise that prevents one of the more expensive surprises in leveraged trading.
The requirement is not fixed
Brokers raise maintenance requirements during volatility, and they can apply the change to positions already open. A cushion calculated against today’s requirement can shrink without the price moving at all.
Requirements also vary by instrument, by position size tier and by account type. Use the figure from your own account rather than a general one.
A call and a liquidation are different events
A margin call is a demand for additional equity, usually with a deadline. A liquidation is the broker closing positions to restore the requirement.
How much notice sits between the two - if any - is set by the broker and by market conditions. In fast markets, some venues do the second without much of the first.
Methodology and assumptions
What this calculator does, and what it deliberately does not do.
- Results are arithmetic on the numbers you enter. Nothing here predicts prices or connects to an exchange, broker or market data feed.
- Nothing you type is transmitted or stored - the calculation runs entirely inside your browser.
This tool is for informational and educational purposes only and does not constitute financial or investment advice. Past performance does not guarantee future results.
Nothing on this website is a recommendation to buy, sell or hold any security, currency, derivative or digital asset. No price is predicted and no return is promised or implied.
Trading and investing carry the risk of substantial loss, including the loss of your entire capital. Leveraged products can produce losses that exceed your deposit. Tax treatment depends on your jurisdiction and your circumstances.
Frequently asked questions
What maintenance requirement should I use?
The one your broker applies to this instrument and position size. It varies by venue, by instrument and by market conditions.
Can the requirement change while I hold a position?
Yes. Brokers raise requirements during volatility and can apply the change to open positions, which reduces a cushion without any price movement.
Is this the same as a liquidation price?
Not quite. This is the level at which the maintenance requirement is reached. Liquidation is what the broker does about it, and the timing between the two is a broker policy.
Does this work for short positions?
Yes. For a short, the level sits above the entry, because a rising price is what erodes the equity.
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