# How to calculate the percentage gain needed to recover a loss in Excel

Divide 1 by what is left after the drop and subtract 1: `=1/(1-B2)-1`. After a 20% drop you need a 25% rise.

**Excel:** `=1/(1-B2)-1` (Every current version)

**Google Sheets:** the same formula works.

## Example

Sample data (row 1 is the header):

| A | B | C |
| --- | --- | --- |
| Store | Sales drop | Rise needed |
| Elm St | 0.1 |  |
| Harbor | 0.2 |  |
| Airport | 0.25 |  |
| Mall | 0.5 |  |
| Outlet | 0.75 |  |

Formula in C2, filled to C6: `=1/(1-B2)-1`

Result: 11.1%; 25.0%; 33.3%; 100.0%; 300.0%

## How it works

After a 20% drop, 80% of the original is left. To get back to 100%, the new level has to grow by 100/80, a factor of 1.25: a 25% rise. In general the factor is `1/(1-drop)`, and subtracting 1 turns it into a percentage increase.

The bigger the drop, the faster the required rise grows: halving needs +100%, and a 75% drop needs +300%.

## Other ways

- `=B2/(1-B2)`: The same result, simplified: the drop divided by what is left.
- `=B2`: The common assumption that the same percentage brings you back. (Too low: a 20% rise after a 20% drop only reaches 96%.)

## Common mistakes

- A percentage drop and the same percentage rise don't cancel: 100 → 80 → 96.
- A drop of 100% leaves nothing, and the formula divides by zero.

## Questions

**How do I check the answer?**

Apply both changes: `=(1-B2)*(1+C2)` should return 1.

**How much do I need to drop to undo a rise?**

Use `=1-1/(1+rise)`: undoing a 25% rise takes a 20% drop.

Every formula and result on this page was checked by running it in the Spreadsheet Practice formula engine on 2026-10-30.

Source: https://spreadsheetpractice.com/formulas/percentage-needed-to-recover-a-loss