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Create and Manage Discounts

Create and edit discounts from your online Square Dashboard or from the Square app. After you’ve set up discounts, learn how to apply them at checkout.

Create Manual Discounts

From your online Square Dashboard

  1. Visit Items > Discounts in your online Square Dashboard.

  2. Click Create a Discount.

  3. Enter the discount details – including the discount name, amount (either percentage or dollar amount) and applicable locations.

  4. When you’re all set, click Save.

From the Square App

  1. Tap the three horizontal lines > Items.

  2. Tap Discounts > Create Discount or select a discount to modify.

  3. Enter the discount details and tap Save.

Note: If you’d like to create a variable discount so you can enter the amount at checkout, leave the Amount field blank.

Although you can create manual discounts online or from the Square app, to create automatic discounts, head to the online Square Dashboard.

Create Post-Tax Discounts

Create post-tax discounts for things like manufacturer discounts and instant rebates. When a post-tax discount is applied, the item being discounted will still be taxed at the original price instead of the discounted price.


From your online Square Dashboard

  1. Visit Items > Discounts in your online Square Dashboard.

  2. Click Create a Discount

  3. Enter the discount details – including the discount name, amount (either percentage or dollar amount) and applicable locations.

  4. Under Advanced Settings toggle Apply Discount After Tax.

  5. Toggle Discount Rules on if you want to automatically apply the discount to a specific criteria.

  6. When you’re all set, click Save.


From the Square App

  1. Tap the three horizontal lines > Items.

  2. Tap Discounts > Create a Discount, or select a discount to modify.

  3. Enter the discount details. 

  4. Under Options, toggle ApplyDiscount After Taxes

  5. Save.

Note: Post-tax discounts are not available for Virtual Terminal, Square Invoices or payments accepted using our developer APIs at this moment.

Create Automatic Discounts

Create automatic discounts for specific items, categories, quantities, daily specials like happy hours or limited time offers.

You can create four types of automatic discounts:

  • Item or Category

  • Quantity

  • Customer Group

  • Recurring

  • Limited Time

Automatic discounts can be used in combination. For example: You can create a minimum quantity discount on a recurring basis or for a limited time by setting up the discount Schedule or Date Range.

Item and Category Discounts

Create a discount that will automatically apply when you add an item or category to a sale.

  1. Visit Items > Discounts in your online Square Dashboard.

  2. Click Create a Discount.

  3. Enter the discount details – including the discount name, amount (either percentage or dollar amount) and applicable locations.

  4. Toggle on Automatic Discount.

  5. Select the Purchase rule Item and Category > Done.

  6. Next, search and add eligible items or categories you’d like to automatically discount when added to a sale > Save.

Create Quantity Discounts

Create a discount that will automatically apply when you add items or categories and a specified quantity to a sale.

You can set up three types of quantity discounts:

  • Exact Quantity: When you add an exact item quantity to your cart, the discount will automatically trigger and apply to the item cost.

  • Minimum Purchase Quantity: When you add a minimum quantity of an item to your cart, a discount will apply to all of the specified items.

  • Buy One, Get One Free: When a customer buys a specified quantity of an item or category, a discount will apply towards additions of the same item or towards different item(s) added to the cart. For example, you can create a BOGO discount so that when a customer purchases 2 hats, they’ll receive 50% off the cost of a scarf.

Note: If you’d like to set up a buy one, get one free discount, just make sure to set the discount percentage amount to 100%.

To get started:

  1. Visit Items > Discounts in your online Square Dashboard.

  2. Click Create a Discount and add a name and discount amount.Note: If you’d like to set up a buy one, get one free discount, just make sure to set the discount percentage amount to 100%.

  3. Toggle on Automatic Discount.

  4. Click the Purchase rule Quantity.

  5. Add the required quantity and select the items or categories you want to include.

  6. Next set your Discount Rule. You’ll have three options for setting up your quantity discount:

  • Exact Purchase Quantity

  • Minimum Purchase Quantity

  • Buy One, Get One Free

  1. Select exact or minimum quantity, and save the discount. If you selected Buy One, Get One Free, specify the quantity and items the buyer will receive at a discount, and then click Save.

You can update an existing discount at any time by clicking Edit Purchase Rule from the discount details page.

Quantity-based discounts also work with schedule or date range features. For example, you could create a Minimum Purchase Quantity every Saturday or for the month of December for holiday specials.

Create a Recurring Discount

  1. Visit Items > Discounts in your online Square Dashboard.

  2. Click Create a Discount to add a new discount.

  3. Enter the discount details.

  4. Toggle on Automatic discount.

  5. Click Select Items to apply discounts to certain items or categories automatically.

  6. Choose up to 1,000 individual items or categories and click Done. To select all items, select the tick box next to the “Items” heading.

  7. Toggle on Set Schedule.

  8. Set the days of the week and times of day this discount is available.

  9. Click Save.

Create a Limited Time Discount

  1. Visit Items > Discounts in your online Square Dashboard.

  2. Click Create a Discount.

  3. Enter the discount details.

  4. Toggle on Automatic discount.

  5. Click Select Items to apply discounts to certain items or categories automatically.

  6. Choose up to 1,000 individual items or categories and click Done. To select all items, select the tick box next to the “Items” heading.

  7. Toggle on Set Date Range and select dates to create a limited time discount.

  8. Click Save.

Learn more about using discounts with Square.

Create Customer Group Discounts

Square's Customer Directory allows you to create Customer Groups to view how customers interact with your business. Creating Customer Groups allows you to store contact information on file, such as phone numbers or email addresses, or track visit frequencies to your business.

When you create a discount for a Customer Group, the discount will automatically apply when a buyer from the group is added to a transaction, speeding up the checkout process.

To create a new discount or apply an existing discount for a Customer Group from the Square Point of Sale App:

  1. From the main menu of your app, tap Customers > View groups.

  2. Select a group you wish to apply a discount to.

  3. From the menu at the top of the page, tap Manage group discounts

  4. Either select an existing discount to apply to the group, or press Create discount

  5. If you are creating a new discount, provide the discount details > tap Save. In the next window, click the discount you created > tap Save

  6. If you are adding an existing discount to a group, select which discounts you wish to apply > tap Save

Once these steps are complete, you can add another Customer Group to the discount, add another discount rule or edit the discount. To remove a discount, deselect the discount from the Apply discount to group page and press Save once complete.

Note: Discounts can only be created to Customer Groups on the Square Point of Sale App on iOS. Discounts cannot yet be configured to groups on Android devices or on your online Square Dashboard. Once a discount is created for a Customer Group, it will be applied across your entire Square account. 

Learn more about how to manage customer groups and filters.

Learn more about: Invoices