Enter the purchase amount and the cashback earned into the calculator to determine the cashback percentage. This calculator helps you understand the percentage of cashback received from a transaction.

## Cashback Percentage Formula

The following formula is used to calculate the cashback percentage.

CBP = (CE / PA) * 100

Variables:

- CB% is the cashback percentage
- CE is the cashback earned ($)
- PA is the purchase amount ($)

To calculate the cashback percentage, divide the cashback earned by the purchase amount and then multiply by 100 to get the percentage.

## What is Cashback?

Cashback refers to a credit card benefit that refunds the cardholder a small percentage of the amount spent on purchases. Cashback rewards are actual cash that can be applied to a credit card bill or received as a check or bank account deposit. It’s a way to earn back some of the money you spend.

## How to Calculate Cashback Percentage?

The following steps outline how to calculate the Cashback Percentage.

- First, determine the purchase amount (PA) in dollars.
- Next, determine the cashback earned (CE) in dollars.
- Use the formula from above = CB% = (CE / PA) * 100.
- Finally, calculate the Cashback Percentage (CB%).
- After inserting the variables and calculating the result, check your answer with the calculator above.

**Example Problem : **

Use the following variables as an example problem to test your knowledge.

Purchase Amount (PA) = $200

Cashback Earned (CE) = $10