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How to Calculate Percentages: Complete Guide

Master every type of percentage calculation with easy formulas and real-world examples.

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What is a Percentage?

A percentage is a way of expressing a number as a fraction of 100. The word "percent" comes from the Latin "per centum" meaning "by the hundred."

50% = 50/100 = 0.50 = one half

Percentages are everywhere: discounts, taxes, tips, interest rates, statistics, grades, and more. Understanding them is essential for everyday math.

Calculate X% of Y

The most common percentage question: "What is X percent of Y?"

Formula

Result = Y × (X ÷ 100)

Examples

What is 20% of 150?

150 × (20 ÷ 100) = 150 × 0.20 = 30

What is 15% of $85? (calculating tip)

$85 × 0.15 = $12.75

What is 8.5% of $200? (calculating tax)

$200 × 0.085 = $17

X is What % of Y?

When you know two numbers and want to find the percentage relationship.

Formula

Percentage = (X ÷ Y) × 100

Examples

25 is what % of 200?

(25 ÷ 200) × 100 = 0.125 × 100 = 12.5%

You scored 45 out of 60. What's your %?

(45 ÷ 60) × 100 = 75%

$15 tip on $75 bill. What %?

(15 ÷ 75) × 100 = 20%

Percentage Change

Calculate how much something has increased or decreased as a percentage.

Formula

% Change = ((New - Old) ÷ Old) × 100

Increase Example

Stock went from $50 to $65

((65 - 50) ÷ 50) × 100 = +30%

Decrease Example

Price dropped from $80 to $60

((60 - 80) ÷ 80) × 100 = -25%

Note: Positive result = increase, Negative result = decrease

Increase/Decrease by %

Calculate a new value after increasing or decreasing by a percentage.

Increase by X%

New = Original × (1 + X/100)

$100 increased by 25%:

$100 × 1.25 = $125

Decrease by X%

New = Original × (1 - X/100)

$100 decreased by 25%:

$100 × 0.75 = $75

Discount Example

Original price $80, 30% off:

$80 × (1 - 0.30) = $80 × 0.70 = $56

You save $24

Real-World Applications

Sales Tax

Item costs $49.99, tax rate is 8.25%:

Tax: $49.99 × 0.0825 = $4.12
Total: $49.99 + $4.12 = $54.11

Restaurant Tips

Bill is $67.50, you want to tip 20%:

Tip: $67.50 × 0.20 = $13.50

Salary Raise

Current salary $50,000, getting 5% raise:

New salary: $50,000 × 1.05 = $52,500

Loan Interest

Borrowed $10,000 at 6% annual interest:

Annual interest: $10,000 × 0.06 = $600/year

Investment Return

Invested $5,000, now worth $6,500. What's the return?

((6500 - 5000) ÷ 5000) × 100 = 30% return

Quick Mental Math Tips

10% Shortcut

Just move the decimal point one place left.

10% of $85 = $8.50

50% Shortcut

Just divide by 2.

50% of $86 = $43

25% Shortcut

Divide by 4, or find 50% then halve it.

25% of $80 = $20

15% Tip Shortcut

Find 10%, then add half of that.

15% of $60: $6 + $3 = $9

20% Shortcut

Find 10% and double it.

20% of $45: $4.50 × 2 = $9

Flip Trick

X% of Y = Y% of X (same answer!)

8% of 50 = 50% of 8 = 4

Calculate Any Percentage Instantly

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