Skonto Calculator (Cash Discount)
Work out the Skonto cash discount on an invoice: the discount amount, the reduced amount to pay, and the effective annual interest rate of paying early.
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How to use the Skonto Calculator
- 01
Enter the invoice amount and the Skonto rate offered.
- 02
Enter the Skonto period and the full payment term in days.
- 03
See the discount, the reduced amount to pay, and the effective annual interest rate.
How the calculator works
Enter the invoice amount, the Skonto rate, and the two deadlines: the Skonto period for the discount and the full payment term. The calculator returns the Skonto amount, the reduced amount to pay, and the effective annual interest rate of paying early.
Everything runs in your browser and nothing is uploaded.
Reading the effective annual rate
The effective annual interest turns the discount into a yearly rate, so you can compare paying early against leaving the money in the bank or drawing on an overdraft. Because the discount is earned over just a few weeks, the annualized figure is often 30% or more.
Estimate, not advice
This is a standard commercial estimate using the 360-day convention and does not account for your specific terms, taxes, or agreements. Treat it as a guide, not financial advice.
Frequently asked questions
What is Skonto?
Skonto is a cash discount a supplier grants for paying an invoice early, within a short Skonto period, instead of at the full payment term. A typical offer is 2% within 10 days, otherwise the full amount within 30 days.
How is the Skonto amount calculated?
Multiply the invoice amount by the Skonto rate. On a 1,000 EUR invoice at 2%, the Skonto is 20 EUR, so you pay 980 EUR if you pay within the Skonto period.
What is the effective annual interest of Skonto?
Taking Skonto is like earning a return for paying early. Annualized with the commercial 360-day convention, 2% within 10 versus 30 days is about 36.7% per year, calculated as Skonto rate divided by (100 minus Skonto rate), times 360 divided by (payment term minus Skonto period). That is usually far more than short-term credit costs, so paying early tends to pay off.
Does Skonto apply to the gross or net invoice?
By convention Skonto is taken on the gross invoice total. This calculator applies the rate to the amount you enter, so enter the figure your terms refer to.
This tool is for general information only and is not financial, tax, or legal advice. Results are estimates that depend on your situation and current rules, so check the official source or a qualified professional before you act.