Net Rate Calculator (after scheme)
What is net rate in pharma?
Net rate is the real, all-in cost of one unit after every benefit is applied — the bonus scheme (free goods) plus any extra cash or special discount. The rate printed on the bill is rarely what you actually pay per unit. Knowing your true net rate is essential before you set your onward selling price, because that is the number your margin is really built on.
Net rate formula
- Net rate = Billed rate × Buy ÷ (Buy + Free) × (1 − cash discount %)
Worked example
After scheme = 95 × 10 ÷ 12 = ₹79.17
Net rate = 79.17 × (1 − 0.05) = ₹75.21 per unit
Total saving vs billed rate = 20.83%
Why net rate decides your real margin
If you price your sale off the billed rate instead of the net rate, you give away part of the benefit you negotiated. Conversely, knowing your net rate lets you offer a competitive scheme to your own buyer while still protecting your margin. It is the single most useful number when you are deciding how aggressively you can price.
Net rate vs PTR vs PTS
PTR and PTS are list prices in the supply chain. Net rate is what you personally end up paying after schemes and discounts on a specific purchase. Use the PTR/PTS calculator for list pricing and this net rate calculator for your actual cost on a deal.
Do all your pharma maths in one app
The net rate calculator is one of 11 free tools in PharmaCalc — PTR/PTS, MRP, margin, scheme, GST, profit, ROI and MR incentive. Works offline, Hindi interface. Open the free app →
Frequently asked questions
What is the difference between billed rate and net rate?
Billed rate is the price printed on the invoice per unit. Net rate is the real per-unit cost after free goods and cash discount are factored in — usually lower.
Should I price my sale on net rate or billed rate?
Always base your margin calculation on the net rate, since that is your true cost.
Can I add a percentage scheme too?
Yes — enter the percentage in the cash discount field; it is applied on top of the free-goods scheme.
