# Xero Developer Community ## How the discount is calculated on line item?

I have an item price is \$22.50 with discount 15%.

Xero calculated the discount value as \$3.37.

\$22.5 X 0.15 = 3.375

Why Xero rounded to 3.37 but not 3.38?

How to get \$3.38?

Thanks!
RSS  Setting your discount to 15.01% would seem to be an adequate workaround. Hi Dev L,

The discounts in Xero is calculated based on per line item total.

line 1: unit price of \$22.5 with 15% off has a line item total of \$19.13 (\$19.125 rounded to 2 decimal places), the discount is then \$22.5 - \$19.13 = \$3.37.

If we calculate discount first by \$22.50 x 15% = \$3.38 like you did and calculate line item total by \$22.50 x 85% = \$19.13, we would have resulted in an extra 1 cent difference in line total (\$19.13 + \$3.38 = \$22.51).

If this calculation is different in your software, it will result in a different in the total amount in the invoice. In that scenario, you will need to introduce a new line to adjust the difference so the transaction can be reconciled later on.