In Excel, numbers formatted as percentages are internally stored in cells as decimals. For example, 50% is stored as 0.5 and 100% as 1.
This means that in Excel, you can multiply percentages like regular decimal numbers.
In this tutorial, I will show you several examples of how to multiply percentages in Excel.
Example #1: Increase Numbers in a Column by a Particular Percentage
To increase numbers in a column by a specific percentage, multiply each number by 1 plus the percentage.
Suppose you have the dataset below with old salary figures in column A and want to increase them in column B by the percentage in cell E1.
You can use the formula below to effect the increase:
=A2*(1+$E$1)
Drag or double-click the fill handle to copy the formula in cell B2 to the other cells down the column.
Since the value in cell E1 is internally stored as 0.2 (representing 20%), the formula becomes =A2*(1+0.2), equivalent to =A2*1.2.
This increases the value in cell A2 by 20%. The reference to cell E1 remains unchanged when you copy it to other cells because it uses an absolute reference ($E$1).
The benefit of putting the percentage in a cell instead of hardcoding it into the formula is that if you need to change it, you only have to update it in one place, and all the linked cells will automatically update.
Also read: How to Subtract Percentage in Excel (Decrease Value by Percentage)?
Example #2: Decrease Numbers in a Column by a Specific Percentage
To decrease numbers in a column by a specific percentage, multiply each number by 1 minus the percentage.
Suppose you have the price list below with original prices in column B and want to decrease them in column C by the percentage in cell G1.
You can use the formula below to effect the decrease:
=B2*(1-$G$1)
Drag or double-click the fill handle in cell C2 to copy the formula to the other cells in the column.
Since the 5% in cell G1 is internally stored as 0.05, the formula becomes =A2*(1 – 0.05), which is equivalent to =A2*0.95. This decreases the value in cell A2 by 5%. The reference to cell G1 remains unchanged when you copy it to other cells because it uses an absolute reference ($G$1).
Also read: How to Calculate Cumulative Percentage in Excel?
Example #3: Calculate Current Value After Percentage Increase/Decrease
Suppose you have the dataset below with some values in column A and percentage change values in column B. You want to calculate the current values that include the percentage change.
Here’s the formula you can use to calculate the current values in column C:
=A2*(1+B2)
Double-click or drag the fill handle in cell C2 to copy the formula to the other cells.
In the above formula, I first calculate the overall percentage to multiply by the value in column A by adding, in brackets, 1 to the percentage value in column B. I then multiply the overall percentage by the value in column A.
Notice that the formula works for both percentage decrease and increase.
Note: Alternatively, you can use the array formula below:
=A2:A6*(1+B2:B6)
Press Enter if you have Excel 365 or later, to enter the formula. For older versions of Excel, press Ctrl + Shift + Enter to enter the formula.
Also read: How to Calculate Percentage Difference in Excel (Formulas)
Example #4: Calculate an Amount of the Total
If you have the total amount and the percentage, you can find a specific portion of the total by multiplying the total by the percentage.
Consider the dataset below with the prices of various items in column B. You want to calculate how much sales tax to pay for each item using the sales tax percentage in cell F1.
You can use the formula below to calculate the sales tax:
=B2*$F$1
Drag or double-click the fill handle in cell C2 to copy the formula to the other cells down the column.
Because the 7.5% in cell F1 is stored in the cell as 0.075 the above formula becomes =B2*0.075, calculating the specific amount of the total in cell B2. The reference to cell F1 does not change as it is copied to other cells because it uses absolute references ($F$1)
Also read: How to Add a Percentage to a Number in Excel?
Example #5: Calculate a Percentage of a Percentage
To calculate a percentage of a percentage, multiply the two percentages.
Consider the dataset below with percentage values in column A. You want to calculate 10% (in cell E1) of the percentages in column B.
You can use the formula below to do the calculation:
=A2*$E$1
Drag or double-click the fill handle in cell B2 to copy the formula to the other cells in the column.
I have shown you several examples of multiplying percentages in Excel. I hope you found the tutorial helpful.
Other Excel articles you may also like:
