Everyday MathBeginner10 min read

How to Calculate Percentage Increase and Decrease

Use the percentage change formula, examples, and calculator

Percentage Change Formula

To calculate percentage increase or decrease, subtract the old value from the new value, divide by the old value, then multiply by 100.

Percentage Change = ((New Value - Old Value) / Old Value) x 100

A positive result is a percentage increase. A negative result is a percentage decrease. For example, going from 50 to 60 is ((60 - 50) / 50) x 100 = 20% increase.

Calculate Percentage Change

Percentage Calculator

Choose a calculation type, fill in the values, and click Calculate.

What is X% of a number?

%

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Why This Matters

Every day you encounter percentage changes:

  • "50% off sale!"
  • "Stock market up 3% today"
  • "Rent increased by 5%"
  • "Lost 10% body weight"

Understanding percentage change helps you make better decisions with money, health, and investments.

Percentage Increase Formula

Percentage Increase = ((New - Old) / Old) × 100

Percentage Decrease Formula

Percentage Decrease = ((Old - New) / Old) × 100

Both formulas are the same! Decrease will give a negative number.

Step-by-Step Examples

Example 1: Salary Raise (Increase)

Problem: Your salary went from $50,000 to $55,000. What's the percentage increase?

Solution:

  1. Find the difference: $55,000 - $50,000 = $5,000
  2. Divide by original: $5,000 / $50,000 = 0.10
  3. Multiply by 100: 0.10 × 100 = 10% increase

Example 2: Sale Discount (Decrease)

Problem: A $80 jacket is now $60. What's the percentage decrease?

Solution:

  1. Find the difference: $80 - $60 = $20
  2. Divide by original: $20 / $80 = 0.25
  3. Multiply by 100: 0.25 × 100 = 25% decrease

Example 3: Stock Market Change

Problem: Stock price went from $150 to $165. What's the change?

Solution:

  1. Difference: $165 - $150 = $15
  2. Divide: $15 / $150 = 0.10
  3. Result: 10% increase

🧮 Calculate Any Percentage Change

Let our calculator do the math for you - just enter the old and new values!

Open Percentage Calculator →

Common Real-World Scenarios

1. Price Increases

ItemOld PriceNew Price% Change
Gas$3.00/gal$3.60/gal+20%
Rent$1,200/mo$1,320/mo+10%
Groceries$150/wk$165/wk+10%

2. Sale Discounts

ItemOriginalSale Price% Off
TV$500$40020% off
Shoes$100$7030% off
Laptop$1,000$85015% off

Quick Mental Math Tricks

10% Rule

To find 10% increase or decrease:

  • Increase: Add 10% to original (Original × 1.10)
  • Decrease: Subtract 10% (Original × 0.90)

Example: 10% off $80 = $80 × 0.90 = $72

50% Rule (Half)

50% decrease means half the original price.

Example: 50% off $60 = $30

Double = 100% Increase

If something doubles, that's a 100% increase.

Example: $50 → $100 = 100% increase

Common Mistakes to Avoid

❌ Mistake 1: Using the wrong base

Always divide by the ORIGINAL (old) value, not the new value.

Wrong: ($60 - $50) / $60 = 16.7%
✅ Right: ($60 - $50) / $50 = 20%

❌ Mistake 2: Confusing % and percentage points

If interest goes from 5% to 8%:

  • Change = 3 percentage points
  • Increase = (3/5) × 100 = 60% increase

Reverse Calculations

Find Original Price After Discount

Problem: Item costs $80 after 20% discount. What was original price?

Solution:

  • $80 represents 80% of original (100% - 20% = 80%)
  • Original = $80 / 0.80 = $100

Find New Price After Increase

Problem: $200 item increased by 15%. What's the new price?

Solution:

  • New = $200 × 1.15 = $230

Practice Problems

  1. Population grew from 10,000 to 12,500. What's the % increase?
  2. Weight dropped from 180 lbs to 162 lbs. What's the % decrease?
  3. Investment rose from $5,000 to $6,250. What's the % gain?

Answers: 1) 25%, 2) 10%, 3) 25%

Frequently Asked Questions

Can percentage change be over 100%?

Yes! If something triples, that's a 200% increase. If it quadruples, that's 300%.

How do I calculate multiple percentage changes?

Multiply the multipliers: Price up 20% then down 10% = 1.20 × 0.90 = 1.08 = 8% net increase.

What if I get a negative number?

Negative = decrease, Positive = increase. The sign tells you the direction of change.

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