I have worked in equity markets for 20 years and poor abbreviations drive me crazy. Regretfully, until the USA goes metric there’s going to continue to be problem with this. You can see it on ancient French and British ledgers from the 18th and 19th centuries where “M₤” represents £1000 and “MM₤” is £1million. So the convention of using M for thousands and MM for millions originated in Roman numeral-based accounting. To understand MM, we have to go back to the early days of accounting when Roman numerals were used to record ledgers.
How Do You Abbreviate Million Dollars?
As stated above, MM is generally used in business to represent millions since the letter M by itself has historically meant 1,000. That said, if your organization uses M and it doesn’t cause confusion, you are free to use M to abbreviate one million. “MM” is an old-fashioned abbreviation, but it still sees some usage today. You might come across “mm” in scientific or engineering fields, where different values are required, and they can reach well into the millions as a unit. The least ambiguous approach is to simply write them out in words, such as “$ thousands.” This is CFI’s recommended method, to avoid any potential confusion.
Conclusion: An Enduring Convention
However, there are official abbreviations out there that you might come across, and it would help to know about them. We’ll explain the correct abbreviation for “million” in this article. In financial operations – where every zero in a number is crucial – abbreviating large figures helps reduce potential errors when handling complex calculations and transactions.
Summary: Million Abbreviation
If you’re confused about the letter designations that stand for thousands and millions, you’re not alone. One thing to consider is that when writing about large amounts of money, the words “million” or “billion” are often left out altogether, as are superfluous zeroes. It’s then up to the reader to note the context, with the document stating the place value once at the beginning and not again.
“M” vs. “MM” – What Is The Correct Abbreviation for “Million”?
If you’re looking to avoid the word million altogether, you won’t have much luck. The only other option is to write your entire number numerically or even convert it to scientific notation. Internet advertisers are familiar with CPM which is the cost per thousand impressions. Despite some calls to modernize, MM persists because of its advantages for clarity, precision, and familiarity.
- The barred M was necessary because the Romans didn’t use zero, and they didn’t like using more than three identical letters in a row.
- The term “MM” originates from the Roman numeral M, which stands for one thousand.
- MM is an abbreviation that is used to represent “million” which is widely used in accounting and finance to represent the quantities of shares, units of production, or other measurements.
- However, it’s important to note that it may be less known in areas where the use of Roman numerals is not common and in non-English speaking countries who may use other abbreviations.
- Later on, the rise of typewriters and early digital spreadsheets continued this practice of using M and MM abbreviations.
- You’ll find that it’s mainly used in the energy sector, but it otherwise doesn’t get recognized.
Most native speakers wouldn’t care much about “million” as an abbreviation because they won’t often come across the number in their daily lives. Outside of finance and accounting, it is common to find the value of a thousand abbreviated mm meaning million as (K), the value of a million abbreviated as (M), and the value of a billion abbreviated as (B). Yet, often in finance and accounting, we find that this abbreviation deviates from the cultural norm that permeates most industries.
M vs. MM – What Is The Correct Abbreviation for “Million”?
This guide will explore how the notation should be used, as well as alternative symbols that are used in practice. The use of MM to represent a million originated from the Roman numeral system, where “M” stands for thousand. When used in the context of finance or the stock market, “MM” is used to represent a thousand thousand, or a million. It’s a concise way to denote large amounts without taking up a lot of space on the page or screen.
Informal terminology
- Regardless of why you are trying to abbreviate the word “million,” you have come to the right place.
- However, it’s fairly uncommon for “Million” to be abbreviated outside of scientific circles.
- Swap the word “million” for “mil” or “mm” to avoid redundant language but to still be specific in how large numbers you’re working with.
- Furthermore, using MM can make a large-scale monetary value easier to quickly grasp, both visually and conceptually, as it simplifies the financial quantities being discussed or presented.
- These examples underscore the need for abbreviations like MM to avoid ambiguity with large figures.
