# Pip Calculator

Traders' tools

Pip calculator

### Our pip calculator helps you to estimate the pip value in your trades so that you can better manage your risk.

### How to calculate pip value

The pip value for a contract on Deriv MT5 is calculated based on this formula:

**Pip value = point value Ă— volume Ă— contract size**

For synthetic accounts, the pip value is calculated in USD.

For financial accounts, the pip value is in the quote currency for forex pairs.

### Example calculation

Pip value for synthetic indices

Pip value for forex