🔢 Basis Point Calculator

What is a basis point?

A basis point (bps) is a common unit in finance equal to one hundredth of one percent (0.01%). It’s used to describe small changes in interest rates, fees, and yields without the ambiguity that can come with talking in fractions of a percent.

How this calculator works

Enter a number of basis points and, optionally, a principal amount. The calculator converts basis points to a percentage by dividing by 100, and if you provide a principal amount, it also shows the dollar impact of that many basis points applied to that amount.

For example, a 25 basis point change is the same as a 0.25% change. This tool is for general educational and planning purposes.