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Discount Calculator

Sale price and money saved from any percentage off.

Reviewed by the Calculation Machine team · Updated 24 October 2026 · How we check our maths

Your values

ⓘ Live results

Results
Final price
$90.99
You save
$39.00
Effective discount
30%
After first discount
$90.99

Quick answer

To calculate a discount, multiply the original price by the discount rate and subtract it: sale price = price × (1 − discount ÷ 100). A $129.99 item at 30% off costs $129.99 × 0.70 = $90.99, saving $39.00. Stacked discounts multiply rather than add, so 30% then 20% off is a 44% total discount, not 50%.

What the Discount calculator does

This calculator gives the final price, the dollar saving and the effective discount from a percentage off, with an optional second discount applied to the already-reduced price — the way extra coupon codes, loyalty discounts and "take an extra 20% off sale items" offers work at checkout.

Shoppers use it to check a sale tag before buying. Retail staff use it the other way round, as a markdown tool, to set a clearance price from a percentage cut. In business-to-business buying it handles trade discounts and chain discounts such as "list less 40/10", where a supplier takes 40% off list and then a further 10%.

The results are before sales tax. Most US states charge sales tax on the discounted price, so apply the sales tax calculator to the final price to see what you will actually pay.

The formula

Final price = P × (1 − d₁ ÷ 100) × (1 − d₂ ÷ 100) Saving = P − final price Effective discount = saving ÷ P × 100

Formula variables
SymbolMeaningUnit
POriginal (list) price$
d₁First discount%
d₂Second discount, applied to the already-reduced price%

Chain (series) discounts in business mathematics are calculated the same way, using the net price equivalent rate (1 − d₁)(1 − d₂). The single equivalent discount is 1 minus that product: for 30% and 20% off, 1 − 0.70 × 0.80 = 0.44, or 44%. The order of the two discounts does not change the result.

Worked examples

Quick percent-off check

Running shoes tagged $80 with 25% off.

Inputs

  • Original price80 $
  • Discount25 %
  • Extra discount at checkout0 %

Result

  • Final price$60.00
  • You save$20.00
  • Effective discount25%
  • After first discount$60.00

The shoes cost $60, a $20 saving. A quick mental check: 25% is a quarter, and a quarter of $80 is $20.

Sale price plus a checkout coupon

A $250 jacket is 30% off, and the store emails a code for an extra 20% off sale items.

Inputs

  • Original price250 $
  • Discount30 %
  • Extra discount at checkout20 %

Result

  • Final price$140.00
  • You save$110.00
  • Effective discount44%
  • After first discount$175.00

The jacket drops to $175, then to $140 — $110 off in total, a 44% effective discount. Adding the percentages would wrongly suggest $125.

Trade chain discount of 40/10

A contractor buys equipment with a $1,200 list price from a supplier offering list less 40%, less a further 10%.

Inputs

  • Original price1200 $
  • Discount40 %
  • Extra discount at checkout10 %

Result

  • Final price$648.00
  • You save$552.00
  • Effective discount46%
  • After first discount$720.00

The net price is $648 — a single equivalent discount of 46% off list. Use this effective rate to compare against a competitor quoting one flat discount.

Stacked discounts: what the combined rate really is

Because the second discount applies to a smaller price, two discounts always add up to less than their sum. The table shows the single equivalent discount for common combinations.

Single equivalent discount for two stacked discounts
First discountSecond discountTotal discountPay (% of original)
10%10%19%81%
20%10%28%72%
25%15%36.25%63.75%
30%20%44%56%
40%10%46%54%
50%20%60%40%
50%50%75%25%

Markdowns, markups and why they don't cancel out

A markdown is a price cut expressed as a percentage of the current selling price — the same calculation as a discount. A markup is added on top of cost. They are not symmetrical: an item marked up 25% from $80 to $100, then marked down 25%, sells for $75, not $80.

To set a clearance price, enter the current price and the markdown percentage. To check whether a markdown still covers cost, compare the result with your cost price or use the profit margin calculator. The markup calculator works in the other direction, from cost to selling price.

Working out the percentage off from two prices

If a tag shows only the old and new price, the discount rate is (original − sale) ÷ original × 100. A $60 item reduced to $45 is ($60 − $45) ÷ $60 = 25% off. The percentage change calculator does this directly for any two numbers.

For quick mental math, find 10% by moving the decimal point one place left, then scale: 30% of $129.99 is about 3 × $13 = $39.

How to use the Discount Calculator

  1. 1Enter the original price before any discount, from the tag or the struck-through price online.
  2. 2Enter the advertised percentage off as a number, for example 30 for 30% off.
  3. 3If there is an extra coupon, loyalty discount or second trade discount, enter it as the extra discount; otherwise leave it at 0.
  4. 4Read the final price, the amount saved and the effective discount. Add sales tax separately if it applies.

Frequently asked questions

How do I calculate 20% off a price?

Multiply the price by 0.80. For example, 20% off $45 is $45 × 0.80 = $36, a saving of $9.

Is 30% off plus 20% off the same as 50% off?

No. The 20% applies to the already-reduced price, so the combined discount is 44%. On a $100 item you would pay $56, not $50.

Does the order of stacked discounts matter?

No. Multiplication works in any order, so 20% then 30% gives the same final price as 30% then 20%. What can matter is whether a coupon is a percentage or a fixed dollar amount, and when the store applies it.

Is sales tax charged on the original or discounted price?

For a store's own discount or coupon, US states generally tax the reduced price. Manufacturer coupons are treated differently in some states, where tax is charged on the pre-coupon price.

How do I find the original price from a sale price?

Divide the sale price by (1 − discount ÷ 100). An item selling for $72 after 20% off originally cost $72 ÷ 0.80 = $90.

References

  • Contemporary Business Mathematics with Canadian Applications (trade and chain discounts) — Pearson — S. A. Hummelbrunner and K. Suzanne Coombs
  • Guides Against Deceptive Pricing (16 CFR Part 233) — US Federal Trade Commission

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