Discount Calculator
Find sale price, savings amount, and final cost with tax
Final Price
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Frequently Asked Questions
How do I calculate a discount?
Multiply the original price by the discount percentage, then subtract. Example: $120 with 25% off → $120 × 0.25 = $30 discount → $120 − $30 = $90 final price. Or multiply by (1 − discount%): $120 × 0.75 = $90.
Is tax applied before or after discount?
Sales tax is applied after the discount in all US states. You pay tax on the discounted price, not the original price. This is beneficial — a $100 item with 20% off and 8% tax = ($100 × 0.80) × 1.08 = $86.40.
How do I stack multiple discounts?
Multiply them consecutively, not together. Two 20% discounts off a $100 item = $100 × 0.80 = $80, then $80 × 0.80 = $64. NOT 40% off ($60). The effective combined discount is 36%, not 40%.
What is BOGO and how does it work?
Buy One Get One (BOGO) free is equivalent to 50% off both items. BOGO 50% off means each item is 25% off. When comparing sales, convert to an equivalent single-item discount percentage for fair comparison.
How do I calculate original price from discounted price?
Divide the sale price by (1 − discount%). If something costs $75 after a 25% discount, original price = $75 ÷ 0.75 = $100. This is useful when you only see the sale tag.
How to Calculate Discounts
Finding Original Price from Sale Price
If you only see the sale price and discount, work backwards:
Formula: Original = Sale Price ÷ (1 − Discount%)
Example: $75 sale price, 25% off
$75 ÷ 0.75 = $100 original price
Useful when comparing "was $X, now $Y" vs just the sale price tag.