Easiest way to calculate GST sell price

When I was a fish counter many years ago (quota and compliance in other words), my boss at Sanford, taught me this quick way to add and total GST on to an exclusive price to get the sell price and work out the GST exclusive price from an inclusive price.  

For the 12.5% rate, you can of course use the divide by 9 calculation to find GST content, but I've found that I rarely want to know the actual GST component, and will only then subtract that result from the price because I'm really only interested in finding out GST exclusive price.   

GST at 15 %

1)   To get the GST incl price, ie to add GST to an excl price       Multiply by 1.15

$10 excl GST x 1.15 = $11.50

2)   To work out GST excl price from an incl price                           Divide by 1.15

$11.50 incl GST / 1.15 = $10

The same applies for 12.5% rate too, just use 1.125 as the calculator.

Have you used the above method before?  Grab your calculator and give it a test run. 

And if you still need a quick way to calculate the GST content of an inclusive price:

3)    GST 15% rate = Multiply the inclusive price by 3 then divide by 23.

$11.50 x 3 / 23 = $1.50

You can can also just multiply by 0.13044 if you are a number geek like me.

      GST 12.5% rate = Divide the inclusive price by 9

______________________________________________

Are we ready?

Hopefully, good planning will enable a seamless transition.

• I have the last patch to upload today to our accounting package 
• Zeald have integrated one magic button price fixer which means they are putting a lot of power into the hands of us idiots - bet it will be a busy morning in their support centre tomorrow!

How are your GST changover plans looking on this the last day of 12.5%?