Basis Points (BPS) Calculator
Convert a value between basis points, percent and decimal. Enter a number and pick the units.
A basis point is one hundredth of a percent, so 100 basis points equal 1 percent and 1 basis point equals 0.01 percent or 0.0001 as a decimal. To convert basis points to a percent, divide by 100; to convert a percent to basis points, multiply by 100.
How to Use This Calculator
Enter the value you have, then choose whether it is in basis points, percent or decimal form, and what you want to convert it to. The result updates instantly in any direction.
Basis points come up constantly in finance because they remove ambiguity. Saying a rate rose 50 basis points is unmistakable, whereas 'rose 0.5%' can be confused with a 0.5% relative increase. This converter translates between the way rates are quoted and the decimals you calculate with.
How the Conversion Works
A basis point is one hundredth of one percent. So 100 basis points make 1 percent, and 1 percent is 0.01 as a decimal. That gives a simple chain: divide basis points by 100 to get a percent, and by 10,000 to get a decimal.
The converter turns your input into a decimal fraction using the factor for its unit, then converts from the decimal into the unit you want, so every direction uses the same exact relationships.
1 bp = 0.01% = 0.0001
Worked Example
A central bank raises rates by 50 basis points. Divide by 100 to get the percent: 50 ÷ 100 = 0.50%. As a decimal that is 50 ÷ 10,000 = 0.005.
Going the other way, a 0.25% move is 0.25 × 100 = 25 basis points — the classic quarter-point rate change.
What the Result Means
Basis points let you talk about small changes in rates precisely. A bond yield moving from 4.00% to 4.25% has risen 25 basis points; a fund charging 0.75% has an expense ratio of 75 basis points.
When you plug a rate into a formula, you usually need the decimal form — 0.005 rather than 50 bps — which is why converting cleanly between the three matters.
Assumptions and Limitations
- Handles basis points, percent and decimal conversions only
- Basis points measure an absolute change in a rate, not a relative one
- For a percentage of a dollar amount, use the percentage calculator
- Results are rounded for display
Who Uses a Basis Points Calculator
Finance professionals, traders, and borrowers use this to convert between basis points, percent, and decimals. When a lender raises a rate by 25 bps, a fund charges 75 bps, or a bond yield moves 10 bps, this makes the change instantly clear in plain percentages. It is a quick reference for anyone reading rate announcements, fee disclosures, or market commentary where changes are quoted in basis points.
Related Calculators
Reverse Sales Tax Calculator
Strip sales tax out of a total to find the pre-tax price and the tax paid.
Open calculator →ROAS Calculator
Measure return on ad spend as a ratio and a percentage.
Open calculator →Doubling Time Calculator
Find how long money or anything takes to double at a growth rate.
Open calculator →Stock Profit Calculator
Work out profit and return on a stock trade, including commissions.
Open calculator →Frequently Asked Questions
How many basis points are in 1 percent?
One hundred. A basis point is one hundredth of a percent, so 1% = 100 basis points, and 0.5% = 50 basis points.
What is 50 basis points as a percentage?
0.50 percent. Divide basis points by 100 to get the percent: 50 ÷ 100 = 0.5%. As a decimal it is 0.005.
Why do finance people use basis points?
To avoid confusion between an absolute and a relative change. 'Up 50 basis points' clearly means the rate rose by 0.50 percentage points, not by 0.50% of its value.
How do I convert basis points to a decimal?
Divide by 10,000. So 50 basis points is 50 ÷ 10,000 = 0.005, which is the form you plug into most formulas.
Is a quarter-point rate hike 25 basis points?
Yes. A quarter of a percent is 0.25%, which equals 25 basis points. Rate changes are commonly quoted this way.
Looking for a different calculator?
CalculatorPlus has free tools across finance, construction, math, health and more — each one showing the formula and a worked example.