Calculate discounted prices, savings, stacked discounts, tax after discount, bulk pricing, and compare multiple deals — all in one tool.
Discounts reduce the original price of a product or service by a specified percentage or fixed amount. Understanding how discounts are calculated helps consumers make informed purchasing decisions and recognize genuine deals versus marketing tactics.
The basic discount formula is simple: Final Price = Original Price × (1 - Discount%/100). For example, a 25% discount on a $200 item: $200 × 0.75 = $150, saving you $50.
Stacked discounts (multiple discounts applied sequentially) are common during sales events. Important: a 20% + 10% stacked discount is NOT the same as 30%. The first discount reduces the price, then the second applies to the already-reduced price. A 20% followed by 10% equals 28% total discount, not 30%.
When sales tax applies, it's typically calculated on the discounted price, not the original. This means your actual savings include the tax you would have paid on the discount amount. Always check whether advertised prices include or exclude tax.
Smart shopping tips: Compare the actual dollar amount saved, not just the percentage. A 50% discount on a $20 item saves $10, while a 10% discount on a $500 item saves $50. Calculate the price per unit when comparing bulk deals. And always factor in shipping costs — a discount can be negated by high delivery fees.