Increase and decrease

How to calculate percentage decrease

Percentage decrease is the drop divided by the starting value, times 100. Examples, why decreases can't pass 100%, and why a decrease and the matching increase aren't the same size.

PercentSwiftPublished 3 min read

Short answer

Percentage decrease = (old − new) ÷ old × 100. A price that falls from $80 to $60 drops by $20, and 20 ÷ 80 = 0.25, so it fell 25%. Divide by the starting value, not the new one.

On this page

A percentage decrease measures how far something fell, as a share of where it started.

percentage decrease = (old − new) ÷ old × 100

A pair of headphones drops from $80 to $60. The drop is $20, and 20 ÷ 80 = 0.25. That’s a 25% decrease.

Two columns: before at 80 and after at 60. The missing 20 is labeled as 25% of 80.
The 20-unit drop is 25% of the starting 80. Going back up from 60 to 80 would need a 33.3% increase, because the base is smaller. Tap the image to open it full size.

Try it: $80 down to $60

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Step by step

  1. Subtract the new value from the old one to get the size of the drop.
  2. Divide by the old value.
  3. Multiply by 100.

You can also use the general percentage change formula, (new − old) ÷ old × 100. It gives −25% for the same example. The minus sign tells you it went down.

Examples

Energy use. A household used 920 kWh in January and 690 kWh in April. The drop is 230 kWh, and 230 ÷ 920 = 0.25, a 25% decrease.

Weight. Someone goes from 94 kg to 87 kg. The drop is 7 kg, and 7 ÷ 94 = 0.0745, about a 7.4% decrease.

Price cut. A car’s list price falls from $32,500 to $29,900. The drop is $2,600, and 2,600 ÷ 32,500 = 0.08, an 8% decrease.

Try it: $32,500 to $29,900

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Decreases stop at 100%

Something that falls to zero has dropped 100%. It can’t drop further unless the quantity can be negative. If you calculate a decrease bigger than 100% for a price, a count or a weight, you’ve probably divided by the wrong number.

A decrease and an increase of the same size don’t cancel

If a price falls 25% from $80 to $60, getting back to $80 takes a rise of 20 ÷ 60 = 33.3%. The amount is the same $20, but the base is smaller, so the percentage is larger.

This is why a stock that loses 50% has to gain 100% to recover. The guide on recovering from a percentage loss has a full table.

Taking a percentage off a number

If you already know the percentage and want the result (what’s $80 minus 25%?), multiply by 1 minus the percentage as a decimal: 80 × 0.75 = $60. The calculator’s “Subtract %” mode does this.

Try it: 80 minus 25%

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For sale prices, the discount guide covers the shopping version, including stacked coupons. For the reverse problem (the price is now $60 after 25% off, what was it before?), divide by 0.75 instead. See reverse percentages.

Mistakes to avoid

Dividing by the new value is the most common one. For the headphones, 20 ÷ 60 gives 33.3%, which answers “how much more was the old price than the new one?” That’s a real question, but it isn’t the decrease.

The other is subtracting percentages that come from different bases. A 30% drop followed by a 20% drop is a 44% drop overall (0.7 × 0.8 = 0.56), not 50%. See successive percentage changes.

Questions

Should a percentage decrease be written as negative?

Either “a 25% decrease” or “−25%” is fine. Don’t combine them: “a −25% decrease” would mean an increase.

Can something decrease by more than 100%?

Only if it can go below zero, like a temperature or a bank balance. A price or a count can fall at most 100%, to zero.

The calculator links in this guide are checked against the PercentSwift calculator every time the site is built. How we calculate explains the rounding rules. If you spot a mistake, email hello@percentswift.com.