Percentage Increase vs. Percentage Change: What's the Difference?

Why These Two Terms Are Frequently Confused

In financial news, business analytics, and science reports, you often hear terms like "percentage change," "percentage increase," and "percentage difference." While related, they answer distinctly different questions.

1. Percentage Change

Percentage change measures the relative shift of an evolving value over time compared to its original starting point:

Percentage Change = [(New Value - Old Value) / |Old Value|] × 100

• If the result is positive, it is a percentage increase.
• If the result is negative, it is a percentage decrease.

2. Percentage Difference

Percentage difference compares two numbers of equal standing where neither value is an "original" or "starting" point (e.g., comparing the heights of two adults or the populations of two cities):

Percentage Difference = [|Value 1 - Value 2| / ((Value 1 + Value 2) / 2)] × 100

Solve all forms of percentage comparison instantly with our free online Percentage Calculator.