Percentage off or money off: which coupon saves more?
When a shop offers a percentage discount and a fixed amount off, you can usually compare them with a few lines of arithmetic. The important number is the eligible basket, which may be smaller than the complete order. Calculate both reductions, check any cap or minimum and then compare the final payable totals. You do not need to increase your spending just because one coupon becomes stronger above a threshold.
- Calculate the percentage on eligible items, not the whole basket by default.
- Divide the fixed saving by the percentage as a decimal to find a simple break-even point.
- Recheck caps, minimums and delivery after applying either option.
Calculate both discounts on the same basket
Convert the percentage into a decimal: 20% becomes 0.20. Multiply that by the eligible amount to find the percentage saving. Compare the result with the fixed coupon's reduction. This first comparison assumes both coupons apply to the same items and neither has a cap or minimum that changes the result.
If some products are excluded, separate them before calculating. A 100.00 basket containing only 40.00 of eligible merchandise produces an 8.00 reduction at 20%, not 20.00. Check the discount line at checkout because product eligibility and rounding can affect the displayed figure.
Find the break-even point
For two simple uncapped offers, divide the fixed reduction by the percentage expressed as a decimal. The answer is the eligible spend where both save the same amount. Below that amount the fixed reduction is larger; above it the percentage reduction is larger, as long as the other terms remain identical.
Add caps and minimums to the calculation
A percentage coupon capped at 10.00 cannot beat an eligible 15.00 fixed reduction on the same basket. A fixed coupon requiring a larger spend may be unavailable at your intended amount. Write these limits beside each result instead of treating the headline offers as equivalent.
Do not add unwanted items to move above the break-even point. The comparison tells you which coupon is better for a given basket; it does not make a larger basket cheaper in absolute terms. Calculate the new amount payable whenever you consider changing the order.
Use the checkout total to finish
Apply each eligible offer separately and note the final total. A discount may change whether you qualify for free delivery or replace an automatic promotion. Keep the basket unchanged while testing. The FTC's general comparison advice supports checking the total cost, which is the useful final check after the arithmetic.
- Identify eligible spend.
- Calculate both reductions.
- Apply caps and minimums.
- Compare the actual payable totals.
Quick answers
Is a percentage discount always better on expensive orders?
Only when eligibility and caps allow it. A maximum saving, excluded products or a lost automatic offer can make the fixed coupon stronger even on a large order.
Can I add two percentage discounts together?
Usually you must calculate them in the order the retailer applies them. If 20% then 10% apply sequentially to 100.00, the result is 72.00, a 28% total reduction, rather than 30%.
Sources & further reading
Store rules and eligibility can change. Check the current terms for your country before buying.
Written with AI assistance using the sources linked above. Examples illustrate a method and are not live coupon offers. How we prepare our guides ↗
