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    home / financial / discount calculator

    Discount Calculator

    Please provide any 2 values below to calculate.

    ▼Modify the values and click the Calculate button to use
    $
    $
    $

    Results

    Price before discount$45.00
    Discount10.00%
    Price after discount$40.50
    You saved$4.50
    • Price after discount 90%
    • Saved 10%

    What a discount is

    A discount is any reduction from the normal selling price of a product or service. Shops use discounts to clear stock, reward loyal buyers, attract new customers or move sales into a quieter season. For a buyer the important question is always the same: how much will I really pay, and how much am I saving?

    This calculator works with the two most common kinds of discount: a percentage taken off the price, and a fixed amount of money taken off the price. Enter any two of the four values (price before, discount, price after, amount saved) and the remaining two are worked out for you.

    Percent off

    With a percent-off discount the saving grows with the price. A 10% discount takes one tenth of the original price away. The formulas are: Saving = Price × Discount ÷ 100, and Final price = Price − Saving = Price × (1 − Discount ÷ 100).

    Worked example: a jacket costs $45 and has 10% off. Saving = 45 × 0.10 = $4.50. Final price = 45 − 4.50 = $40.50. You can reach the same answer in one step: you pay 90% of the price, and 0.90 × 45 = $40.50.

    Fixed amount off

    A fixed-amount discount, such as a $20 coupon, removes the same money whatever the price is. Final price = Price − Fixed amount. On a $95 service the $20 coupon gives a final price of $75, a saving of $20, which works out to about 21.05% of the original price.

    Because a fixed amount is worth more on a cheap item than an expensive one, it is worth converting it to a percentage when comparing offers: Percent saved = Fixed amount ÷ Price × 100.

    Working backwards

    Sometimes you only know the sale price and the discount, for example a tag that says "now $72, 20% off". The original price is Final price ÷ (1 − Discount ÷ 100) = 72 ÷ 0.80 = $90. If you know the original and sale prices, the discount rate is (1 − Final ÷ Original) × 100.

    Stacked and tricky discounts

    Stacked discounts are applied one after another, not added together. 20% off and then a further 15% off is not 35% off; you pay 0.80 × 0.85 = 68% of the price, a total discount of 32%. Use the Percent Off Calculator for stacked percentages.

    Other common offers include "buy one, get one 50% off" (an average 25% discount over two items), "spend $100, save $20" (a fixed discount with a minimum) and loyalty points that act as a delayed discount. Always compare the final price you actually pay, including tax and shipping.

    Frequently asked questions

    Is a bigger percentage always better? Not when it applies to a higher starting price. Compare final prices, not headline percentages.

    Is sales tax charged before or after the discount? In most places tax is charged on the discounted price, so the discount also lowers the tax you pay.

    How do I find the discount rate from two prices? Subtract the sale price from the original, divide by the original and multiply by 100.

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