How to Calculate a Percentage Discount
See how to calculate sale prices, savings and the original price when a discount percentage is given.
In this guide
Start with the original price
A discount percentage is normally applied to the original price. For a 20% discount on 500, the saving is 100 because 20% of 500 is 100. The sale price is therefore 400.
A quick formula
Discount amount = original price × discount percentage ÷ 100. Sale price = original price − discount amount. Writing the two steps down can make pricing calculations much easier to check.
Two discounts are not always added
If an item is reduced by 20% and then another 10%, the total reduction is not 30% of the original price. The second discount is applied to the already reduced price. This is a common source of confusion during sales.
Finding the original price
If you know the sale price and the discount percentage, you can work backwards. For example, if 80% of the original price is 400 after a 20% discount, the original price was 500.
Try the related tool
If you came here because you need to do the calculation or create something now, you can use the matching KingToolsKit tool and then come back to the guide when you want the explanation.
Open the tool →