Discount Calculator
Calculate the final price after applying one or more discounts. Enter the original price and discount percentage to see how much you save and what you'll actually pay.
How Discounts Are Calculated
A discount reduces the original price by a percentage. The formula is simple: Discount Amount = Original Price × (Discount Percentage ÷ 100). The final price is the original price minus the discount amount.
For example, a 25% discount on a $200 item: $200 × 0.25 = $50 savings, so the final price is $150.
Stacking Multiple Discounts
When two discounts are applied sequentially (stacked), the second discount applies to the already-reduced price, not the original price. This is an important distinction that many shoppers overlook.
For example, a 20% discount followed by an additional 10% discount on a $100 item:
- First discount: $100 × 0.20 = $20 off → $80
- Second discount: $80 × 0.10 = $8 off → $72
The total savings is $28 (28%), not $30 (30%). Stacked discounts always result in a slightly lower total discount than simply adding the percentages together.
Discount vs Markup
While discounts reduce prices for consumers, markups increase prices from cost to retail. A common misconception is that a 50% markup followed by a 50% discount returns to the original cost price. In reality, if an item costs $100 and is marked up 50% to $150, then discounted 50%, the sale price is $75 — below the original cost.
Smart Shopping Tips
- Compare unit prices: A larger package with a smaller discount may still be cheaper per unit than a smaller package with a bigger discount
- Watch for anchor pricing: Some retailers inflate the "original" price to make discounts appear larger than they are
- Consider the total cost: Free shipping on a higher-priced item may be a better deal than a discounted item with expensive shipping
- Stack coupons strategically: Apply percentage-based coupons before fixed-amount coupons for maximum savings