Pricing, Tax & Discount Calculations
Understand how Cashvio calculates prices, taxes, discounts, fees, and order totals.
How Order Totals are Calculated
Every order in Cashvio follows this calculation flow:
Subtotal = Sum of (item price × quantity) for all items
+ Service Fee (if applicable)
+ Delivery Fee (if applicable)
- Discount (if applied)
+ Tax
= Order TotalSubtotal
The subtotal is the sum of all items in the order before any fees, discounts, or tax:
Subtotal = Item 1 Price × Qty + Item 2 Price × Qty + ...
Example:
| Item | Price | Qty | Line Total |
|---|---|---|---|
| T-shirt (M/Blue) | 150 EGP | 2 | 300 EGP |
| Jeans (L) | 350 EGP | 1 | 350 EGP |
| Subtotal | 650 EGP |
Tax Calculation
Tax is calculated based on the tax rate set for each product:
Tax Exclusive (Price does NOT include tax)
If the product price does not include tax:
- Tax = Subtotal × Tax Rate
- Total = Subtotal + Tax
Example: Product price is 100 EGP, tax rate is 14%
- Tax = 100 × 0.14 = 14 EGP
- Total = 100 + 14 = 114 EGP
Tax Inclusive (Price includes tax)
If the product price already includes tax:
- Price before tax = Price ÷ (1 + Tax Rate)
- Tax = Price - Price before tax
Example: Product price is 114 EGP (tax included), tax rate is 14%
- Price before tax = 114 ÷ 1.14 = 100 EGP
- Tax = 114 - 100 = 14 EGP
Important
The Tax Included toggle on each product controls how tax is calculated. Make sure this is set correctly to avoid pricing errors.
Discounts
Discounts can be applied manually when creating an order:
Fixed Discount
A specific amount subtracted from the subtotal.
Example: 50 EGP discount on a 650 EGP subtotal
- Discounted subtotal = 650 - 50 = 600 EGP
- Tax is then calculated on 600 EGP
Percentage Discount
A percentage of the subtotal.
Example: 10% discount on a 650 EGP subtotal
- Discount = 650 × 0.10 = 65 EGP
- Discounted subtotal = 650 - 65 = 585 EGP
- Tax is then calculated on 585 EGP
Service Fees
Service fees are added after the subtotal:
Fixed Service Fee
A fixed amount (e.g., 20 EGP service fee).
Percentage Service Fee
A percentage of the subtotal (e.g., 10% of subtotal).
Service fees are subject to tax — tax is calculated on the subtotal plus service fee.
Delivery Fees
Delivery fees are determined by the delivery zone matching the customer's address. They are a fixed amount added to the order.
Delivery fees are typically not subject to tax (they appear as a separate line item).
Full Calculation Example
| Line | Calculation | Amount |
|---|---|---|
| T-shirt × 2 | 150 × 2 | 300 EGP |
| Jeans × 1 | 350 × 1 | 350 EGP |
| Subtotal | 650 EGP | |
| Discount (10%) | 650 × 0.10 | -65 EGP |
| After Discount | 585 EGP | |
| Service Fee (10%) | 585 × 0.10 | 58.50 EGP |
| Taxable Amount | 643.50 EGP | |
| Tax (14%) | 643.50 × 0.14 | 90.09 EGP |
| Delivery Fee | Fixed | 30 EGP |
| Order Total | 763.59 EGP |
Profit Calculations
Profit is calculated using the cost price vs. selling price of each product:
Gross Profit = Selling Price - Cost Price
Profit Margin = (Gross Profit ÷ Selling Price) × 100%
Example:
- Selling price: 150 EGP
- Cost price: 80 EGP
- Gross profit: 70 EGP
- Profit margin: 46.7%
These calculations appear in the Profit Report under Reports.
Tip
Always keep your product cost prices up to date. This ensures accurate profit reporting and helps you make informed pricing decisions.