Funding Rate Calculator (Perpetual Futures)
Calculate the funding fee you pay or receive on a perpetual futures position — per payment, per day and over your holding period — and the annualized funding rate for 8-hour, 4-hour or hourly funding.
How it works
Funding payment = position value × funding rate · longs pay when the rate is positive, shorts pay when it is negative · payments = days × 24 ÷ interval hours · total = payment × payments · annualized rate = rate × payments per day × 365
Perpetual futures never expire, so exchanges keep their price close to the spot index with a funding rate exchanged directly between traders at fixed times — usually every 8 hours, on some contracts every 4 hours or every hour. When the perpetual trades above spot the rate is positive and longs pay shorts; when it trades below, shorts pay longs. Funding is charged on the full position value, not on your margin, so with leverage it can eat a large share of your capital over weeks. The rate changes every period; this calculator assumes it stays constant.
Worked example
A 10,000 long at a funding rate of 0.01% every 8 hours pays 10,000 × 0.0001 = 1.00 per payment, 3.00 a day. Over 30 days that is 90 payments and 90.00 in funding, or 0.90% of the position. Annualized, 0.01% × 3 × 365 = 10.95% a year — and on 10× leverage the 90.00 is 9% of the 1,000 margin.
Sources: Binance — Introduction to Binance Futures funding rates · Investopedia — Perpetual futures and funding rates
Frequently asked questions
Who pays the funding rate, longs or shorts?
With a positive rate longs pay shorts; with a negative rate shorts pay longs. The exchange does not keep the funding — it moves between traders.
Do I pay funding if I close before the funding time?
No. Funding is exchanged only if you hold a position at the exact funding timestamp; closing a second before avoids it, opening a second after avoids it too.
Is 0.01% funding expensive?
It is the default baseline on many exchanges and equals about 10.95% a year on the position value. During strong rallies rates of 0.05%–0.1% per 8 hours (55%–110% a year) are common, which makes holding leveraged longs costly.
Is funding calculated on margin or on position size?
On the position value (size × mark price). Leverage magnifies the cost relative to your margin.
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Educational estimate, not investment, trading or tax advice. Brokers, exchanges and data providers use their own conventions, fees and figures — confirm with your broker, the exchange’s documentation or a licensed adviser before acting.