How to Use This Tool
Percentage questions come in four shapes and people routinely reach for the wrong one. This tool separates them explicitly, because the difference between "increased by 50%" and "increased by 50 percentage points" is the difference between a rounding error and a scandal.
Change between two numbers
Use this when you have a before and an after: last month's revenue and this month's, an old price and a
new one. The formula is (new − old) ÷ old × 100, and the crucial detail is
that you divide by the original. This makes percentage change asymmetric, which surprises people
constantly. Going from 250 to 325 is a 30% increase; going back from 325 to 250 is a 23.1% decrease. The
absolute movement is identical and the percentages differ, because the number you divide by has changed.
This is why a stock that falls 50% needs to rise 100% to recover.
Applying a percentage
Use this for discounts, markups, tips and tax. Note the sequencing trap: applying −20% then +20% does not return you to where you started, it leaves you 4% down. Successive percentages multiply rather than add, and the tool shows the multiplier explicitly so this is visible rather than surprising.
Finding the original
This is the one most people get wrong. If a price is 92 after a 15% discount, the original is not
92 plus 15%. It is 92 ÷ 0.85 = 108.24. Adding the percentage back gives 105.80, which is
wrong by more than two units, and the error grows with the percentage. Any time you need to strip out VAT,
recover a pre-discount price or work back from a post-commission payout, this is the mode you need.
Percent versus percentage points
When both of your numbers are already percentages, saying one "rose by 2%" is ambiguous and usually wrong. A rate moving from 4% to 6% has risen by 2 percentage points, and by 50% in relative terms. Both statements are true and they sound wildly different, which is precisely why headlines pick whichever one suits the argument. This tab shows both figures side by side so you can label yours correctly.
Edge cases the tool handles
- Zero as the original value. Percentage change from zero is mathematically undefined, not infinite. The tool says so rather than displaying a meaningless number.
- Negative starting values. Going from −50 to −25 is an improvement, but the naive formula reports it as a decrease. The working notes when the sign makes the result misleading.
- Very small bases. A change from 1 to 3 is +200%, which is technically correct and usually not what you want to report. The tool flags when the base is small enough for the percentage to mislead.