Discount Calculator

To calculate a discount percentage, subtract the final price from the original price, divide by the original price, and multiply by 100. Formula: ((Original Price - Final Price) ÷ Original Price) × 100 = Discount %

To calculate 20% off, multiply the original price by 0.20 to get the discount amount, then subtract it from the original price. For example: $100 × 0.20 = $20 discount, so final price = $100 - $20 = $80. Alternatively, multiply by 0.80 ($100 × 0.80 = $80).

If you know the final price and discount percentage, divide the final price by (1 - discount% ÷ 100). For example, if an item costs $80 after a 20% discount: $80 ÷ (1 - 0.20) = $80 ÷ 0.80 = $100 original price.

Multiple discounts are applied sequentially, not added together. For example, 20% off followed by 10% off is not 30% total. If an item is $100: First discount: $100 × 0.80 = $80, Second discount: $80 × 0.90 = $72 (total discount of 28%, not 30%).

• Calculate the first discount and get the intermediate price
• Apply the second discount to that intermediate price
• Continue for any additional discounts
• The final result will be less than simply adding percentages

A fixed discount is a specific dollar amount off (e.g., $15 off), while a percentage discount is based on the price (e.g., 20% off). Fixed discounts provide the same savings regardless of price, while percentage discounts scale with the item's cost.

For retail pricing, typically round to the nearest cent (2 decimal places). Our calculator maintains precision throughout calculations and displays results with appropriate decimal places for currency.

While this tool is designed for discounts (price reductions), you can use the percentage calculator for price increases or markup calculations. This tool focuses on scenarios where the final price is less than the original price.

Businesses can use this calculator for promotional pricing, clearance sales, loyalty program discounts, bulk pricing tiers, seasonal markdowns, and competitive pricing analysis. It's useful for both planning and implementing discount strategies.

• Plan promotional discount percentages
• Calculate markdown strategies for clearance items
• Determine competitive sale prices
• Analyze profit margins after discounts
• Set tiered pricing for volume purchases