PRO Courses Hot Guides Tech Help Pro Expert Videos About wikiHow Pro Upgrade
QUIZZES All Quizzes Hot Love Quizzes Personality Quizzes Trivia Quizzes Taylor Swift Quizzes
EDIT Edit this Article
EXPLORE Tech Help ProAbout UsRandom ArticleQuizzes Request a New ArticleCommunity DashboardTrendingForums Arts and EntertainmentArtworkBooksMoviesComputers and ElectronicsComputersPhone SkillsTechnology HacksHealthMen's HealthMental HealthWomen's HealthRelationshipsDatingLoveRelationship Issues Hobbies and CraftsCraftsDrawingGamesEducation & CommunicationCommunication SkillsPersonal DevelopmentStudyingPersonal Care and StyleFashionHair CarePersonal Hygiene Quizzes Love Quizzes Personality Quizzes Fun Games ForumsArts and EntertainmentFinance and BusinessHome and Garden Relationship QuizzesCars & Other VehiclesFood and EntertainingPersonal Care and Style Sports and FitnessComputers and ElectronicsHealthPets and Animals TravelEducation & CommunicationHobbies and CraftsPhilosophy and Religion Work WorldFamily LifeHolidays and TraditionsRelationships Youth
LOG IN
Log in
Social login does not work in incognito and private browsers. Please log in with your username or email to continue. FacebookGooglewikiHow Account No account yet? Create an account
RANDOM
Home
Random
Browse Articles
TrendingNew
Quizzes & Games
All QuizzesHot
Love Quizzes
Personality Quizzes
Fun Games
Dating Simulator
Learn Something New
Forums
Courses
Happiness Hub
Explore More
Support wikiHow
About wikiHow
Log in / Sign up
Terms of Use wikiHow is where trusted research and expert knowledge come together. Learn why people trust wikiHow
Categories
Education and Communications
Studying
Mathematics
How to Calculate Growth Rate Download ArticleExplore this Article parts Sample Growth Rate Calculator 1 Calculating Basic Growth Rates 2 Calculating Average Growth Rate Over Regular Time Intervals Other Sections Questions & Answers VideoWATCH NOW Tips and Warnings Related Articles References Article Summary Co-authored by Dmitriy Fomichenko
Last Updated: December 16, 2025 Fact Checked
Download Article ARTICLE VIDEO X
This article was co-authored by Dmitriy Fomichenko. Dmitriy Fomichenko is the president of Sense Financial Services LLC, a boutique financial firm specializing in self-directed retirement accounts with checkbook control based in Orange County, California. With over 19 years of financial planning and advising experience, Dmitry assists and educates thousands of individuals on how to use self-directed IRA and Solo 401k to invest in alternative assets. He is the author of the book "IRA Makeover" and is a licensed California real estate broker. This article has been fact-checked, ensuring the accuracy of any cited facts and confirming the authority of its sources. This article has been viewed 2,676,385 times.
To many readers, "Calculating a growth rate" may sound like an intimidating mathematical process. In actuality, growth rate calculation can be remarkably simple. Basic growth rates are simply expressed as the difference between two values in time in terms of a percentage of the first value. Below, you'll find simple instructions for this basic calculation as well as information about more complicated measures of growth.
Steps
Sample Growth Rate Calculator
Growth Rate Calculator Part 1 Part 1 of 2:
Calculating Basic Growth Rates
Download Article
1 Obtain data that shows a change in a quantity over time. All you need to calculate a basic growth rate are two numbers - one that represents a certain quantity's starting value and another that represents is ending value.[1]X Expert Source Dmitriy FomichenkoFinancial PlannerExpert Interview For instance, if your business was worth $1,000 at the beginning of the month and it's worth $1,200 today, you'll calculate growth rate with 1,000 as your starting (or "past") value and 1,200 as your ending (or "present") value. Let's do a simple example problem. In this case, we will use the two numbers 205 (as our past value) and 310 (as our present value).
If both values are the same, there is no growth - the growth rate is 0.
2 Apply the growth rate formula. Simply insert your past and present values into the following formula: (Present) - (Past) / (Past) . You'll get a fraction as an answer - divide this fraction to get a decimal value.[2]XResearch source
In our example, we'll insert 310 as our present value and 205 as our past value. Our formula will look like this: (310 - 205)/205 = 105/205 = 0.51
Advertisement
3 Express your decimal answer as a percentage. Most growth rates are written as percents. To convert your decimal answer to a percentage, simply multiply it by 100, then add a percentage sign ("%"). Percentages are an easy-to-digest, universally-understood way to express change between two numbers.[3]XResearch source
So, for our example, we would multiply 0.51 by 100, then add a percent sign. 0.51 x 100 = 51%.
Our answer means our growth rate is 51%. In other words, our present value is 51% bigger than our past value. If our present value was smaller than our past value, our growth rate would be negative.
Advertisement Part 2 Part 2 of 2:
Calculating Average Growth Rate Over Regular Time Intervals
Download Article
1 Organize your data in a table. This isn't absolutely necessary, but it's useful, as it allows you to visualize your given data as a range of values over a length of time. For our purposes, simple tables will usually suffice - simply use two columns, listing your values for time in the left column and the corresponding values for your quantity in the right column, as above.
2 Use a growth rate equation which takes into account the number of time intervals in your data. Your data should have regular values for time, each with a corresponding value for your quantity. The units for these time values aren't important - this method will work for data collected over spans of minutes, seconds, days, etc. In our case, our data is expressed in terms of years. Insert your past and present values into a new formula: (present) = (past) * (1 + growth rate)n where n = number of time periods. [4]XResearch source
This method will give us an average growth rate for each time interval given past and present figures and assuming a steady rate of growth. Because our example uses years, this means we'll get an average annual growth rate.[5]X Expert Source Dmitriy FomichenkoFinancial PlannerExpert Interview
3 Isolate the "growth rate" variable. Manipulate the equation via algebra to get "growth rate" by itself on one side of the equal sign. To do this, divide both sides by the past figure, take the exponent to 1/n, then subtract 1.
If your algebra works out, you should get: growth rate = (present / past)1/n - 1 .
EXPERT TIP
Joseph Meyer
Math Teacher Joseph Meyer is a High School Math Teacher based in Pittsburgh, Pennsylvania. He is an educator at City Charter High School, where he has been teaching for over 7 years. Joseph is also the founder of Sandbox Math, an online learning community dedicated to helping students succeed in Algebra. His site is set apart by its focus on fostering genuine comprehension through step-by-step understanding (instead of just getting the correct final answer), enabling learners to identify and overcome misunderstandings and confidently take on any test they face. He received his MA in Physics from Case Western Reserve University and his BA in Physics from Baldwin Wallace University. Joseph Meyer Math Teacher
To solve an equation for a variable like "x," you need to manipulate the equation to isolate x. Use techniques like the distributive property, combining like terms, factoring, adding or subtracting the same number, and multiplying or dividing by the same non-zero number to isolate "x" and find the answer.
4 Solve for your growth rate. Insert values for your past and present values, as well as a value for n (which will be the number of time intervals in your data, including your past and present values.) Solve according to basic principles of algebra, order of operations, etc.
In our example, we'll use our present figure of 310 and our past figure of 205, along with a time period of 9 years for n. In this case, the average annual growth rate is simply (310/205)1/9 - 1 = .0422
0.0422 x 100 = 4.22%. On average, our value grew by 4.22 percent each year.[6]X Expert Source Dmitriy FomichenkoFinancial PlannerExpert Interview
Advertisement
Community Q&A
Search Add New Question
Question What if the past value is 0? Anna Entrambasaguas Community Answer Then it isn't really growth rate, but your first profit/loss. You will use this value to calculate your growth rate next year (or other time period). Thanks! We're glad this was helpful.Thank you for your feedback. If wikiHow has helped you, please consider a small contribution to support us in helping more readers like you. We’re committed to providing the world with free how-to resources, and even $1 helps us in our mission. Support wikiHow Yes No Not Helpful 40 Helpful 73
Question How do I calculate revenue growth rate over previous year? Donagan Top Answerer Subtract the previous year's revenue from the current year's revenue, then divide the difference by the previous year's revenue. Thanks! We're glad this was helpful.Thank you for your feedback. If wikiHow has helped you, please consider a small contribution to support us in helping more readers like you. We’re committed to providing the world with free how-to resources, and even $1 helps us in our mission. Support wikiHow Yes No Not Helpful 33 Helpful 37
Question How do you calculate growth rate when the initial value is negative? Community Answer Add past value and present value, and divide by past value without changing their signs. Thanks! We're glad this was helpful.Thank you for your feedback. If wikiHow has helped you, please consider a small contribution to support us in helping more readers like you. We’re committed to providing the world with free how-to resources, and even $1 helps us in our mission. Support wikiHow Yes No Not Helpful 59 Helpful 51
See more answers Ask a Question 200 characters left Include your email address to get a message when this question is answered. Submit Advertisement
Video
Read Video Transcript
Tips
This works both ways. You use the same formula whether or not the number goes up or down. It would be a growth reduction in there is a decrease. Thanks Helpful 1 Not Helpful 4
The entire formula reads as: ((Present - Past) / Past) * 100 Thanks Helpful 1 Not Helpful 5
Submit a Tip All tip submissions are carefully reviewed before being published Name Please provide your name and last initial Submit Thanks for submitting a tip for review! Advertisement
You Might Also Like
How toCalculate an Annual Percentage Growth RateHow toCalculate Average Growth Rate in ExcelHow to Use the Percent Change FormulaHow toCalculate Cumulative GrowthHow toCalculate Annualized Portfolio ReturnHow toCalculate the Growth Rate of Nominal GDPHow toCalculate Percentage IncreaseHow toCalculate Doubling TimeHow toCalculate Bank Interest on SavingsHow to Measure Inflation Using the Inflation Rate FormulaHow to Calculate the Future Value of an InvestmentHow toAnnualize a PercentageHow to Find the Average Rate of Change From Tables, Graphs, and FunctionsHow toCalculate Interest Advertisement
Co-authored by: Dmitriy Fomichenko Financial Planner This article was co-authored by Dmitriy Fomichenko. Dmitriy Fomichenko is the president of Sense Financial Services LLC, a boutique financial firm specializing in self-directed retirement accounts with checkbook control based in Orange County, California. With over 19 years of financial planning and advising experience, Dmitry assists and educates thousands of individuals on how to use self-directed IRA and Solo 401k to invest in alternative assets. He is the author of the book "IRA Makeover" and is a licensed California real estate broker. This article has been viewed 2,676,385 times. How helpful is this? Co-authors: 32Updated: December 16, 2025 Views: 2,676,385 Categories: Featured Articles | MathematicsArticle SummaryX
To do a simple growth rate calculation, start with two data points that show a change in quantity over time. For instance, if your blog had 25 subscribers last month and now it has 100, you’d set 25 as your starting value and 100 as the ending value for your calculation. To find the growth rate, subtract the starting value from the ending value and divide the difference by the starting value. In our example, (100-25)/25 gives you 75/25, or 3. Multiply the growth rate by 100% to convert it to a percent value. 3 times 100% is 300%, which means the ending value is 300% bigger than the starting value. If you want to calculate an average growth rate over a longer period of time, such as several years, start by organizing your data points in chronological order from oldest to newest. Then, use the formula growth rate = (present/past)^1/n – 1, where n is the number of time periods represented by your data. So, for instance, if your starting value was 17 and your ending value was 36, and this growth took place after a period of 7 years, use the formula growth rate = (36/17)^1/7 – 1, which equals approximately 0.11, or 11%. Keep in mind that this formula assumes that there’s a steady rate of growth, so it only takes the start and end values into account. To learn how to calculate the average growth rate over regular time intervals, scroll down!Did this summary help you?YesNo
In other languages French Spanish German Portuguese Italian Russian Chinese Dutch Indonesian Hindi Arabic Vietnamese Turkish Korean Thai Czech Japanese
Print
Send fan mail to authors
Thanks to all authors for creating a page that has been read 2,676,385 times.
Reader Success Stories
Diana Caraganciu
Aug 1, 2018
"A supplier came with a price increase of 45% compared to a price from 3.5 years ago. Due to this formula I realized that the annual growth rate was 13%. This is a lot, given that the inflation rate was below 2%. "..." more
More reader stories Hide reader stories Share your story
Did this article help you?
Yes No Advertisement Cookies make wikiHow better. By continuing to use our site, you agree to our cookie policy. Co-authored by: Dmitriy Fomichenko Financial Planner Click a star to vote Co-authors: 32Updated: December 16, 2025 Views: 2,676,385
Diana Caraganciu
Aug 1, 2018
"A supplier came with a price increase of 45% compared to a price from 3.5 years ago. Due to this formula I realized that the annual growth rate was 13%. This is a lot, given that the inflation rate was below 2%. "..." more
Linda Karlsson
Oct 31, 2016
"Just the simple growth rate calculation increased my confidence level when reporting out to my manager! I went from a 5 to a 10, with 10 being extremely confident. Thanks. I will be back."..." more
Jen
Jul 5, 2022
"This article helped me tremendously because I now know and have found clarity on how to calculate growth rate and I am stunned by the way the article did it step by step. Thank you."..." more
Jeannie
Apr 23, 2017
"The step-by-step instructions as well as video instructions on how to use the scientific calculator." Share yours! More success stories Hide success stories
Quizzes & Games
Cognitive TestTake QuizWhat Age Is My Brain QuizTake QuizHow Tall Will I Be QuizTake QuizGrowth vs. Fixed Mindset QuizTake QuizAm I a Genius QuizTake QuizHow Rich Will I Be QuizTake Quiz
You Might Also Like
How toCalculate an Annual Percentage Growth RateHow toCalculate Average Growth Rate in ExcelHow to Use the Percent Change FormulaHow toCalculate Cumulative Growth
Featured Articles
What Are the Korean Animal Face Types? (And Which Type Do You Have?)Being the Little Spoon While Cuddling: Is It Better Than the Big Spoon?115+ Funny “Get Well Soon” Messages to Make Someone Laugh110+ “Fun Facts” for Interviews, Introductions, & IcebreakersHow Long Would You Survive In A Zombie Apocalypse?How to Roast Someone in a Rap Battle (Plus the Best Bars of All Time)
Trending Articles
How Many People Had a Crush on You In 2025?What Song Was #1 On My Birthday?What Are My Soulmate's Initials QuizAm I Chopped QuizWhat Generation Do I Really Belong In QuizHow toKiss
Featured Articles
What Turns a Girl On? 31 Things to Try on Your PartnerLove AnalyzerSending Your Sweetie a Love Note? Here are 200+ Romantic IdeasHow toExercise Your BrainHow toBe a Fun Person to Hang out WithWhat Does Your Morning Routine Say About You?
Featured Articles
How toDevelop Productive HabitsHow toPractice Self CareWhat Song Matches Your Life Right Now?Your 2026 Vision: What Does Next Year Hold?Understanding the Most Attractive Face Shapes (& Determining Your Own)Type A B C D Personality Test
Watch Articles
How to Deep Clean Your Kitchen Sink (& Keep It Clean)How to Curl Your Hair: 8 Easy & Quick WaysHow toThicken Sauce with FlourHow to Brighten Up White Shirts and Other GarmentsHow to Cook White Rice without a Rice CookerHow to Clean Out the Inside of a Glass Bottle (With or Without a Brush)
Trending Articles
How Will I Die QuizHow toLose Belly Fat in 2 Weeks10+ Scary Phone Numbers to CallWhat Animal Do I Look Like QuizHow Rare Is Your Name?What Gender Should I Have Been Born As Quiz
Quizzes & Games
Am I Smarter than a 5th Grader QuizTake QuizIQ Test For KidsTake QuizIQ TestTake QuizDo You Have What It Takes To Become A Millionaire?Take QuizHow Many Digits of Pi Do I Know QuizTake QuizWhat Is My Mental Age QuizTake Quiz
Categories
Education and Communications
Studying
Mathematics
wikiHow Newsletter You're all set! Helpful how-tos delivered toyour inbox every week! Sign me up! By signing up you are agreeing to receive emails according to our privacy policy.
Download Article Explore this Article parts Sample Growth Rate Calculator 1 Calculating Basic Growth Rates 2 Calculating Average Growth Rate Over Regular Time Intervals Other Sections Questions & Answers VideoWATCH NOW Tips and Warnings Related Articles References Article Summary Co-authored by Dmitriy Fomichenko 
Advertisement 
Co-authored by: Dmitriy Fomichenko Financial Planner This article was co-authored by Dmitriy Fomichenko. Dmitriy Fomichenko is the president of Sense Financial Services LLC, a boutique financial firm specializing in self-directed retirement accounts with checkbook control based in Orange County, California. With over 19 years of financial planning and advising experience, Dmitry assists and educates thousands of individuals on how to use self-directed IRA and Solo 401k to invest in alternative assets. He is the author of the book "IRA Makeover" and is a licensed California real estate broker. This article has been viewed 2,676,385 times. How helpful is this? Co-authors: 32 Updated: December 16, 2025 Views: 2,676,385 Categories: Featured Articles | Mathematics Article SummaryX
Take Quiz
Take Quiz
Take Quiz
Take Quiz
Take Quiz
Take Quiz 
Take Quiz
Take Quiz
Take Quiz
Take Quiz
Take Quiz
Take Quiz 
489 
Growth Rate Calculator Part 1 Part 1 of 2: 
1 Obtain data that shows a change in a quantity over time. All you need to calculate a basic growth rate are two numbers - one that represents a certain quantity's starting value and another that represents is ending value.[1] For instance, if your business was worth $1,000 at the beginning of the month and it's worth $1,200 today, you'll calculate growth rate with 1,000 as your starting (or "past") value and 1,200 as your ending (or "present") value. Let's do a simple example problem. In this case, we will use the two numbers 205 (as our past value) and 310 (as our present value). 
2 Apply the growth rate formula. Simply insert your past and present values into the following formula: (Present) - (Past) / (Past) . You'll get a fraction as an answer - divide this fraction to get a decimal value.[2] 
3 Express your decimal answer as a percentage. Most growth rates are written as percents. To convert your decimal answer to a percentage, simply multiply it by 100, then add a percentage sign ("%"). Percentages are an easy-to-digest, universally-understood way to express change between two numbers.[3] 
1 Organize your data in a table. This isn't absolutely necessary, but it's useful, as it allows you to visualize your given data as a range of values over a length of time. For our purposes, simple tables will usually suffice - simply use two columns, listing your values for time in the left column and the corresponding values for your quantity in the right column, as above. 
2 Use a growth rate equation which takes into account the number of time intervals in your data. Your data should have regular values for time, each with a corresponding value for your quantity. The units for these time values aren't important - this method will work for data collected over spans of minutes, seconds, days, etc. In our case, our data is expressed in terms of years. Insert your past and present values into a new formula: (present) = (past) * (1 + growth rate)n where n = number of time periods. [4] 
3 Isolate the "growth rate" variable. Manipulate the equation via algebra to get "growth rate" by itself on one side of the equal sign. To do this, divide both sides by the past figure, take the exponent to 1/n, then subtract 1. 
4 Solve for your growth rate. Insert values for your past and present values, as well as a value for n (which will be the number of time intervals in your data, including your past and present values.) Solve according to basic principles of algebra, order of operations, etc. 
Anna Entrambasaguas Community Answer Then it isn't really growth rate, but your first profit/loss. You will use this value to calculate your growth rate next year (or other time period). Thanks! We're glad this was helpful. Thank you for your feedback. If wikiHow has helped you, please consider a small contribution to support us in helping more readers like you. We’re committed to providing the world with free how-to resources, and even $1 helps us in our mission. Support wikiHow Yes No Not Helpful 40 Helpful 73 
Donagan Top Answerer Subtract the previous year's revenue from the current year's revenue, then divide the difference by the previous year's revenue. Thanks! We're glad this was helpful. Thank you for your feedback. If wikiHow has helped you, please consider a small contribution to support us in helping more readers like you. We’re committed to providing the world with free how-to resources, and even $1 helps us in our mission. Support wikiHow Yes No Not Helpful 33 Helpful 37 
Community Answer Add past value and present value, and divide by past value without changing their signs. Thanks! We're glad this was helpful. Thank you for your feedback. If wikiHow has helped you, please consider a small contribution to support us in helping more readers like you. We’re committed to providing the world with free how-to resources, and even $1 helps us in our mission. Support wikiHow Yes No Not Helpful 59 Helpful 51 
Advertisement Cookies make wikiHow better. By continuing to use our site, you agree to our cookie policy.