How is P95 calculated for PTRS?

Quick answer

P95 is calculated from the payment times in the SBTCP Dataset by finding the actual payment-time value at the 95th percentile.

What does this mean?

The Regulator says the 80th and 95th percentiles must be calculated using the SBTCP Dataset. The result must be an actual payment-time value found in the dataset, without averaging or interpolation. The guidance identifies tools such as Python numpy.percentile, R quantile and Excel PERCENTILE.INC, provided the resulting value is handled in accordance with that requirement.

Practical point

This is not simply '95% multiplied by the maximum payment time'. The payment times need to be ordered and the percentile identified from the actual distribution of payments.

Other ways people ask this

• What formula should I use for P95?
• Can I use Excel PERCENTILE.INC for PTRS?
• Can PTRS P95 be an interpolated value?
• How do I calculate the 95th percentile from payment days?

Official sources

• Payment Times Reporting Guidance Materials
  80th and 95th percentile payment times
  Paragraphs: 192, 193, 194 · Example: 42 · Page: 46-47

Related guidance

• What is P95 in Payment Times Reporting?
• How is payment time calculated for PTRS?
• What is the Small Business Trade Credit Payment Dataset?
• What do the PTRS payment-time bands mean?

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