Early payment discount
See the dollar saving from terms such as 2/10 net 30.
Result
Early payment discount
Discount saving
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Enter the amount and the terms, or try the example.
Estimate for planning only. This is not tax, legal, accounting or financial advice. Results depend on the figures you enter. Check all numbers, rates and rules with the official source or a qualified professional before relying on them.
How this works and common questions
About this tool
Type the invoice amount, the discount percent, the day the discount ends, and the day the full amount is due. The result is the dollar saving if you pay by the discount day.
How it works
The saving is the amount times the percent you type, rounded to the cent. Pay-early is the amount minus that saving. The yearly rate spreads that discount over the days between the two dates and multiplies by 365. It is arithmetic on your terms, not a recommendation.
Rules
Money rounds to the cent, half up. A half cent rounds away from zero. The yearly rate rounds to 2 decimals, half up. It is hidden when the discount is 100 percent. The net day must be after the discount day.
Questions
What does 2/10 net 30 mean here?
A 2 percent discount if you pay by day 10, otherwise the full amount by day 30. You type the percent and the days.
How is the saving rounded?
To the cent, half up. A half cent rounds away from zero.
Is the yearly rate advice?
No. It spreads the discount over the days between the two dates, times 365. It is arithmetic, not a recommendation.
Do I need an account?
No. The tools work without one. You only need to sign in to save your work.
Is what I type saved?
No. Nothing is saved unless you sign in and choose Save. Otherwise it stays on the page.
Do you show ads or sell my information?
No. We show no ads and we do not sell your information.
Is this tax or legal advice?
No. Results are estimates for planning. Check rates and rules with the official source or a qualified professional.
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Estimate for planning only. This is not tax, legal, accounting or financial advice. Results depend on the figures you enter. Check all numbers, rates and rules with the official source or a qualified professional before relying on them.