B/Billable Toolkit
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Discount Calculator

Work out a sale price, or check what two stacked discounts really add up to. They are not simply added together.

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Price

How it’s calculated

Each discount is applied to the price left after the one before. That is why 25% then 10% off is 32.5% in total, not 35%.

final = price × (1 − d1) × (1 − d2) × (1 + tax)

Worked example

$180 at 25% off, then a further 10% off, costs $121.50. The total saving is 32.5%, not 35%.

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Questions

How do I calculate 25% off?

Multiply the price by 0.75. A $180 item at 25% off is $135.

Are stacked discounts added together?

No. The second discount applies to the already-reduced price, so the total saving is a little less than the sum.

Doing these numbers every month? Accounting software can automate invoices, reminders and tax reports.

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