Calculate the percentage increase or decrease between an original value and a new value
The Percentage Change Calculator is a tool that determines the relative change (increase or decrease) between an original value and a new value, expressed as a percentage of the original value. This calculation is commonly used in finance, business, statistics, and everyday situations to quantify changes over time or between different states.
The percentage change is calculated using the following formula:
Percentage Change = ((New Value - Original Value) / |Original Value|) × 100%
Where:
Calculate the percentage change from 100 to 125:
Find the difference between the new and original values:
125 - 100 = 25
Divide the difference by the original value:
25 / 100 = 0.25
Multiply by 100 to get the percentage:
0.25 × 100 = 25%
The percentage change from 100 to 125 is a 25% increase.
Calculate the percentage change from 80 to 60:
Find the difference between the new and original values:
60 - 80 = -20
Divide the difference by the original value:
-20 / 80 = -0.25
Multiply by 100 to get the percentage:
-0.25 × 100 = -25%
The percentage change from 80 to 60 is a 25% decrease.
Calculating percentage changes in stock prices, revenue, profit margins, and other financial metrics to analyze business performance over time.
Determining the percentage discount on a sale item or the percentage increase due to inflation or price adjustments.
Analyzing percentage changes in GDP, unemployment rates, consumer spending, and other economic metrics to assess economic health.
Tracking percentage changes in weight, body measurements, or fitness performance to monitor progress towards health goals.
It's important to understand the distinction between percentage change and percentage difference:
Percentage Change | Percentage Difference |
---|---|
Compares a new value to a baseline value | Treats both values equally |
Uses the original/baseline value as the denominator | Uses the average of two values as the denominator |
Can be positive (increase) or negative (decrease) | Always gives a positive percentage |
Asymmetric: change from A to B differs from change from B to A | Symmetric: difference between A and B equals difference between B and A |
Used when tracking changes from one value to another | Used when comparing independent values |
When the original value is zero, the standard percentage change formula would result in division by zero, which is undefined. In such cases:
When calculating percentage change between negative and positive values, the formula still applies but may yield unexpected results. For example, a change from -10 to +10 would be calculated as:
(10 - (-10)) / |-10| = 20 / 10 = 2 = 200%
When reporting percentage changes, especially in business or financial contexts, it's important to clearly specify the direction of change (increase or decrease) alongside the percentage value to avoid any ambiguity.