Enter two percentages to find the change in percentage points and see how that differs from the relative percent change.
Example: Compare a rate that changes from 20% to 25%
Subtract the original percentage from the new percentage. The answer is expressed in percentage points, not percent.
For example, a rate that rises from 20% to 25% increases by 5 percentage points. Relative to the original 20%, however, that is a 25% increase.
An interest rate increases from 5% to 6%.
Percentage-point calculation: 6% − 5% = 1 percentage point
Relative percent change: (6 − 5) ÷ 5 × 100 = 20%
Answer: The rate rose by 1 percentage point, or 20% relative to its original level.
A website conversion rate rises from 2% to 3%.
Percentage-point calculation: 3% − 2% = 1 percentage point
Relative percent change: (3 − 2) ÷ 2 × 100 = 50%
Answer: The conversion rate rose by 1 percentage point, or 50% relative to the original rate.
An unemployment rate falls from 7.5% to 6.8%.
Percentage-point calculation: 6.8% − 7.5% = −0.7 percentage points
Relative percent change: (6.8 − 7.5) ÷ 7.5 × 100 = −9.33%
Answer: The rate fell by 0.7 percentage points, or 9.33% relative to the original rate.
A percentage point is the arithmetic difference between two percentages. For example, the difference between 15% and 18% is 3 percentage points.
Percentage points describe the direct difference between two rates. Percent change describes the relative change compared with the original rate.
It is an increase of 5 percentage points. Relative to the original 20%, it is a 25% increase.
Yes. A negative result means the new percentage is lower than the original percentage, so the rate decreased by that number of percentage points.