How to calculate a discount
Sale price = Original price × (1 − Discount %). 25% off $120: $120 × 0.75 = $90, a saving of $30.
Discount % = (Original − Sale) ÷ Original × 100. A $120 item on sale for $90 is ($120 − $90) ÷ $120 = 25% off.
Stacked discounts are not added together
"25% off, plus an extra 10% at checkout" is not 35% off. The second discount applies to the already-reduced price: $120 × 0.75 × 0.90 = $81, a total discount of 32.5%. The calculator shows the combined discount for you.
Common discounts at a glance
| Discount | Multiply the price by | On $100 |
|---|---|---|
| 10% | 0.90 | $90 |
| 15% | 0.85 | $85 |
| 20% | 0.80 | $80 |
| 25% | 0.75 | $75 |
| 30% | 0.70 | $70 |
| 50% | 0.50 | $50 |
Discounts on your invoices and quotes
Offering a discount to a client? Show it as a separate line so they see the value: the invoice generator and quote generator have a discount field that is subtracted before tax. Early-payment discounts such as "2/10 net 30" (2% off if paid within 10 days) are explained on our payment terms calculator. Before you discount, check that you still make money with the markup calculator.
Frequently asked questions
How do I calculate 20% off?
Multiply the price by 0.8. For $45, that is $36 – a saving of $9.
Is 20% off then 10% off the same as 30% off?
No. Stacked discounts multiply: 0.8 × 0.9 = 0.72, so the total discount is 28%, not 30%.
Is sales tax calculated before or after the discount?
In most places sales tax is charged on the discounted price, which is how this calculator works. Manufacturer coupons can be treated differently in some US states.
How do I find the original price from a sale price?
Divide the sale price by (1 − discount). A $60 price after 25% off was originally $60 ÷ 0.75 = $80.
