Business
See the sale price and savings from a percentage discount.
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Discount calculator guide
A discount calculation finds the percentage reduction from the original price and subtracts it to give the sale price. This calculator takes the original price and the discount percentage, shows how much you save, and returns the price you would pay before tax. It is useful for checking a sale tag, comparing a percentage-off offer with a fixed-amount coupon, and confirming that a receipt applied the advertised reduction to the right base. Sales tax, shipping, and stacked promotions are not included in the displayed sale price: most jurisdictions charge tax on the discounted amount, and a store’s “extra 10% off” is taken from the already reduced price, not the original, so use the sales tax calculator for the checkout total. Percentage discounts also compound rather than add, which is why a 20% cut followed by another 20% is a 36% saving, not 40%.
Discount amount = original price × discount ÷ 100. Sale price = original price − discount amount = original price × (1 − discount ÷ 100).
Worked example with the defaults: a $120 item with a 20% discount. The saving is $120 × 20 ÷ 100 = $24.00, which appears on the “you save” row. The sale price is $120 − $24 = $96.00, and the calculator displays that $96.00 as the price after discount, before any sales tax, shipping, or other fees. If the store then adds 8% sales tax on the discounted price, the checkout total is $96 × 1.08 = $103.68. A second 20% coupon applied to the sale price would take off another $19.20, bringing it to $76.80, not the $72.00 that adding 20% + 20% would suggest.
Enter the original unit price in currency and the discount as a percentage such as 20, not 0.20. The result is in the same currency and applies to one item; multiply by quantity yourself, or use the sales tax calculator, which accepts quantity and a discount together. Apply tax to the correct post-discount base according to the seller’s rules.
Use the result to compare offers and check a receipt. A discount percentage does not automatically include tax or shipping, and a bigger percentage on a higher list price is not always the better deal.
Do not apply the discount twice or to the wrong base: 20% off is $24 on a $120 tag, but only $19.20 if a store has already reduced it to $96. Do not use the sale price as the original when working out what percentage you saved; $24 off $96 looks like 25% but is really 20% of the true $120 price. Do not add tax before checking how the seller applies the discount, and do not assume two stacked discounts add together, because 20% then 20% leaves 64% of the price, a 36% saving. Check exclusions, minimum spends, and expiry dates, which the calculator cannot see.
Retail promotions can have exclusions, caps, dates, and loyalty conditions; verify the merchant terms.
How it works
See the sale price and savings from a percentage discount. This tool explains the calculation so you can adjust the assumptions to match your situation.
Worked example
With Original price = 120 $ · Discount = 20 % → $96.00 (sale price after discount). Change an input above and this example updates with your numbers.
Common questions
Twenty percent of $120 is $24, so the discounted price is $96 before sales tax, shipping, or other charges. Add tax on the $96 if your jurisdiction taxes the discounted amount, which is the usual rule.
No. The calculator shows the pre-tax sale price; the seller’s local rules determine the taxable base, and most jurisdictions tax the discounted price. A $96 sale price with 8% tax becomes $103.68 at checkout.
Subtract the sale price from the original, divide by the original, and multiply by 100. An item marked down from $120 to $96 is (120 − 96) ÷ 120 × 100 = 20% off; using the sale price as the base would wrongly give 25%.
It depends on the price. On the default $120 item, 20% off saves $24, which beats a $20 coupon. Below $100 the fixed $20 wins, because 20% of $100 is exactly $20; compare the saving in currency, not the headline figure.
Each discount applies to the price left after the previous one, so they multiply rather than add. Twenty percent off followed by another 20% leaves $120 × 0.8 × 0.8 = $76.80, a 36% total saving, not the 40% you might expect.