How to Calculate Percentage — Complete Guide
A percentage is a way to express a number as a fraction of 100. The word "percent" comes from the Latin "per centum" — per hundred. 25% means 25 out of every 100, or 1/4 of the whole. Percentages are used everywhere: discounts, tax rates, interest, exam scores, and statistics.
This guide covers every essential percentage calculation: finding X% of a number, finding what percent one number is of another, percentage increase and decrease, reverse percentage, and real-world applications.
Formula
P% of X = (P / 100) × X
What is a Percentage?
A percentage represents a proportion out of 100. The % symbol means "divided by 100." So 45% = 45/100 = 0.45 as a decimal. Any fraction can be converted to a percentage by multiplying by 100.
Examples: 1/2 = 50%, 1/4 = 25%, 3/4 = 75%, 1/5 = 20%, 1/10 = 10%, 2/3 ≈ 66.7%.
A percentage can exceed 100 (e.g., "sales grew 150%" means they grew to 2.5× the original). A percentage can also be less than 1 (e.g., "0.5% interest rate" = 0.005 as a decimal).
Formula 1: P% of X — Finding the Part
Formula: Result = (P / 100) × X. This answers "What is P% of X?"
Example 1: What is 15% of 80? Result = (15/100) × 80 = 0.15 × 80 = 12.
Example 2: What is 20% of 150? Result = (20/100) × 150 = 0.20 × 150 = 30.
Mental math shortcut: For 10%, move the decimal point one place left. 10% of 240 = 24. For 5%, halve the 10% result: 12. For 20%, double the 10% result: 48. For 25%, divide by 4: 60.
Example 3: Sales tax 8.5% on a $120 purchase. Tax = (8.5/100) × 120 = 0.085 × 120 = $10.20. Total = $130.20.
Formula 2: "X is What Percent of Y?" — Finding the Rate
Formula: Percent = (Part / Whole) × 100. This answers "What percent is X of Y?"
Example 1: 18 is what percent of 72? Percent = (18/72) × 100 = 0.25 × 100 = 25%.
Example 2: A student scored 42 out of 50. Score% = (42/50) × 100 = 84%.
Example 3: A company sold 300 out of 1,200 units. Market share = (300/1200) × 100 = 25%.
Rule: Always divide the PART by the WHOLE, then multiply by 100. Confusing part and whole is the most common error.
Formula 3: Percentage Increase and Decrease
Percentage Increase: ((New − Old) / Old) × 100. If Old < New, result is positive.
Example: Salary rises from $50,000 to $55,000. Increase = ((55,000 − 50,000) / 50,000) × 100 = (5,000 / 50,000) × 100 = 10%.
Percentage Decrease: ((Old − New) / Old) × 100. If New < Old, result is positive (expressing the drop).
Example: Price drops from $80 to $60. Decrease = ((80 − 60) / 80) × 100 = (20/80) × 100 = 25%.
Asymmetry warning: A 25% decrease is NOT reversed by a 25% increase. $80 → −25% = $60 → +25% = $75 (not $80). You need a 33.3% increase to recover a 25% decrease.
Formula 4: Reverse Percentage — Finding the Original
If you know the result after a percentage has been applied, reverse it to find the original.
After an increase: Original = Value / (1 + Rate/100). Example: price is now $132 after a 10% increase. Original = 132 / 1.10 = $120.
After a decrease: Original = Value / (1 − Rate/100). Example: price is now $60 after a 25% discount. Original = 60 / 0.75 = $80.
Pre-tax price: If a $108 total includes 8% tax, the pre-tax price = 108 / 1.08 = $100.
Common mistake: Do NOT subtract the percentage directly. To find the pre-tax price of $108 at 8% tax, do NOT compute $108 × 0.08 = $8.64 and subtract. The correct method uses division as shown above.
Common Uses in Daily Life
Discounts: 30% off $49.99 → Sale price = $49.99 × (1 − 0.30) = $34.99. Savings = $15.00.
Tips: 18% tip on $65 bill → Tip = 0.18 × 65 = $11.70. Total = $76.70.
Interest: 5% annual interest on $10,000 savings → Interest = 0.05 × 10,000 = $500/year.
Nutrition: Food with 25g fat per 100g serving → Fat% = (25/100) × 100 = 25%. On a 2,000 cal diet, 25g fat = 225 calories = 11.25% of daily calories.
Exams: 38/50 marks → Grade = (38/50) × 100 = 76%. Pass mark 60% = 30/50 marks.
Elections: Candidate A got 420,000 votes in an electorate of 700,000. Vote share = (420,000/700,000) × 100 = 60%.
| Scenario | Formula Used | Answer |
|---|---|---|
| 20% off $59.99 | Sale = $59.99 × 0.80 | $47.99 |
| 15% tip on $45 | Tip = $45 × 0.15 | $6.75 |
| Score 38/50 | (38/50) × 100 | 76% |
| Price after 8% tax on $100 | $100 × 1.08 | $108 |
| Pre-tax from $108 at 8% | $108 / 1.08 | $100 |
| Population grew 5% from 200,000 | 200,000 × 1.05 | 210,000 |
| Stock fell from $50 to $42 | ((50−42)/50) × 100 | 16% decrease |
| What % is 15 of 60? | (15/60) × 100 | 25% |