Exponential Decay Calculator
Use our exponential decay calculator to find reduction in value over time.
How to Calculate Exponential Decay
Exponential decay is the reduction in a value by the same percentage over a period of time, where the percentage of decay during each period includes the value of decay from the previous periods.
Exponential decay is the mechanism behind things such as half-life decay.
Exponential decay is the inverse of exponential growth, and you can calculate it using a formula.
Exponential Decay Formula
The formula to find a value after exponential decay is:
The final value xt is equal to the initial value x0 times 1 plus the decay rate r raised to the power of the number of time periods t.
For example, let’s calculate the decay in a value of 250 over 5 time periods given a decay rate of 12%.
So, a value of 250 that decays at a rate of 12% over 5 time periods will be 131.93.