Toolphy

Percentage Difference vs Percentage Change

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Percentage change compares an old value to a new value over time: ((new − old) ÷ old) × 100. Percentage difference compares two values with no reference point, using their average as the denominator: (|A − B| ÷ ((A + B) ÷ 2)) × 100.

When to use each

QuestionUseDenominator
How much did revenue change since last year?Percentage changeThe old value
How far apart are two measured values?Percentage differenceThe average of both

Example

Compare 100 and 120. Percentage change from 100 to 120 is (20 ÷ 100) × 100 = 20%. Percentage difference is (20 ÷ 110) × 100 ≈ 18.18%, because the denominator is the average (110).

Why it matters

Using the wrong one overstates or understates your result. If there is a clear "before" and "after", use percentage change. If the two values are peers with no order, use percentage difference.

Both start from the same numbers — try Mode 2 and Mode 3 of our percentage calculator.

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