Everyday Money · Formula v1.0

Discount Calculator

Calculate sale price, tax and savings from a percentage discount.

Check whether local tax applies after discount. Enter original price in dollars, discount in percent and sales-tax rate in percent (25 means 25%). At the worked-example inputs, the final price after tax is $96. The final price and savings show what you actually pay. On the example, 25% off $120 saves $30, leaving $90, and after 7% tax the price is $96.30. To compare two deals, look at the final price, not the percentage. A larger percentage off a higher regular price is not necessarily cheaper than a smaller percentage off a lower one. Two successive discounts of 20% and 10% total 28%, not 30%. It returns final price after tax, total savings.

FreeNo sign-upInputs stay in-browserCSV exportReviewed August 17, 2026
LAST REVIEWEDAugust 17, 2026Inputs stay in your browser
Live calculation

Enter your numbers

Calculated result
Final price after tax$96
Total savings$30
Sensitivity check

What if original price changes?

-10% input$87
0% input$96
+10% input$106

Transparent method

The formula

Sale price = original price × (1 − discount), then add tax

Worked example

Final price after tax$96
Total savings$30

Example inputs

Original price$120
Discount25.0%
Sales-tax rate7.0%

How to interpret the result

Whether local sales tax applies before or after a discount is a real jurisdictional difference, not a rounding technicality, and it changes the actual final price paid. Some jurisdictions tax the pre-discount price, others tax the post-discount price, and assuming the wrong order produces a final price that's consistently off.

Before you rely on it

What to check

Confirm whether local tax rules apply tax to the pre-discount or post-discount price before calculating the final expected total.

The common error

Where people go wrong with discount calculator

Assuming sales tax always applies after a discount is subtracted. Some jurisdictions calculate tax before the discount is applied, and using the wrong assumption produces a final price calculation that doesn't match what's actually charged.

Sensitivity evidence

How original price changes the final price after tax

Discount Calculator: final price after tax and total savings across a range of original price, every other input held at the worked-example value.
Original priceFinal price after taxTotal savings
$96$77$24
$108$87$27
$120worked example$96$30
$132$106$33
$144$116$36

Every input, tested

Which input moves the final price after tax most

Discount Calculator: final price after tax with each input moved on its own, every other input held at the worked-example value.
InputTested fromToFinal price after tax at each endSwing
Original price$108$132$87 to $106$19 (20%)
Discount23.0%27.0%$99 to $94$5.14 (5.3%)
Sales-tax rate6.0%8.0%$95 to $97$1.80 (1.9%)

Two variables at once

Final price after tax by original price and discount

Discount Calculator: final price after tax at each combination of original price (rows) and discount (columns).
Original price \ Discount21.0%25.0%29.0%
$96$81$77$73
$108$91$87$82
$120$101$96$91
$132$112$106$100
$144$122$116$109

Step by step

The worked example, input by input

Worked-example inputs and the results they produce for the discount calculator.
InputValue used
Original price$120
Discount25.0%
Sales-tax rate7.0%
Final price after tax$96
Total savings$30

Where the inputs come from

Original price is the regular price before the sale, discount is the percentage off, and the sales-tax rate is added after the discount in most places. Some stores stack discounts, such as 25% off and an extra 10% off, which multiply rather than add. Coupon and rebate rules differ: a manufacturer coupon may reduce the taxable price in some states and not in others.

When the result stops applying

The regular price may be inflated to make a discount look larger, so compare with other stores and price history. Tax treatment varies by state. Minimum purchase requirements, exclusions and shipping fees can change the effective saving. A sale price does not mean you should buy: only buy what you would buy anyway.

What to compare it with

Work backward from a sale price with the percentage change calculator, add tax with the sales tax and reverse sales tax pages, and compare package sizes on the unit price comparison calculator. The tip calculator handles restaurant bills.

People also ask

Frequently asked questions

How do I calculate a percentage discount?

Multiply the price by the discount as a decimal to find the savings, and subtract it. For 25% off $120, 120 times 0.25 is $30 off, so you pay $90.

Do two discounts add up?

No. They multiply: 20% off followed by 10% off leaves 72% of the price, a 28% total discount, not 30%.

Is tax calculated before or after the discount?

In most places on the discounted price, but store coupons and manufacturer coupons can be treated differently, so check your state's rule.

Common everyday money questions

Sources and evidence

Background reading

Guides that use this calculator

Definitions

Terms used on this page