The Free Prorate Calculator helps you calculate the prorated amount based on the total amount and the used period. This tool is particularly useful for determining refunds, partial payments, or prorated charges for services and subscriptions.
Prorate Calculation Formula
The following formula is used to calculate the prorated amount from the total amount and the period used.
Prorated Amount = (Total Amount / Total Period) * Used Period
Variables:
- Total Amount is the full amount before prorating ($)
- Total Period is the full period for the total amount (days)
- Used Period is the period that has been used (days)
- Prorated Amount is the amount after prorating ($)
To calculate the prorated amount, divide the total amount by the total period to get the amount per period, then multiply this by the used period.
What is Prorate Calculation?
Prorate calculation refers to the process of determining the proportional amount to be charged or refunded based on the portion of the service or subscription period used. This ensures fair billing practices and accurate financial accounting.
How to Calculate Prorated Amount?
The following steps outline how to calculate the prorated amount using the given formula.
- First, determine your total amount based on the full period of the service or subscription.
- Next, determine the total period for which the amount applies.
- Determine the period that has been used.
- Use the formula from above: Prorated Amount = (Total Amount / Total Period) * Used Period.
- Finally, calculate the prorated amount by plugging in the values.
- After inserting the variables and calculating the result