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How to Find Standard Deviation: A Step-by-Step Guide

Published in Statistics Calculation 4 mins read

Standard deviation is a fundamental statistical measure that quantifies the amount of variation or dispersion of a set of data values. In simpler terms, it tells you how spread out your data points are from the average (mean) value. A low standard deviation indicates that data points tend to be close to the mean, while a high standard deviation means they are spread out over a wider range.

Calculating standard deviation involves a systematic process, which is crucial for understanding the distribution of your data. The following six steps outline how to calculate the standard deviation for a set of scores, often referred to as the population standard deviation when the division is by the total number of scores.

  1. Step 1: Find the Mean

    • Purpose: To determine the central point or average of your data set.
    • Action: Add all the individual scores (data points) together, and then divide this sum by the total count of scores in your data set. This result is the arithmetic mean.
  2. Step 2: Subtract the Mean from Each Score

    • Purpose: To calculate how much each data point deviates from the average.
    • Action: Take the mean calculated in Step 1 and subtract it from every single score in your data set. Some of these results will be positive (if the score is above the mean), and some will be negative (if the score is below the mean).
  3. Step 3: Square Each Deviation

    • Purpose: To eliminate any negative values resulting from the previous step and to give more weight to larger deviations (values farther from the mean).
    • Action: Take each of the deviations you calculated in Step 2 and multiply it by itself (square it). All results will now be positive.
  4. Step 4: Add the Squared Deviations

    • Purpose: To find the total sum of the squared differences from the mean.
    • Action: Sum up all the squared deviations obtained in Step 3. This sum is often referred to as the "sum of squares."
  5. Step 5: Divide the Sum by the Number of Scores

    • Purpose: To calculate the average of the squared deviations, which is known as the variance (specifically, the population variance).
    • Action: Take the sum you found in Step 4 and divide it by the total number of scores in your data set.
  6. Step 6: Take the Square Root of the Result from Step 5

    • Purpose: To convert the variance back into the original units of measurement, providing the standard deviation.
    • Action: Calculate the square root of the number you obtained in Step 5. This final value is the standard deviation.

Summary of Standard Deviation Calculation Steps

For clarity, here's a quick overview of the process:

Step Action Key Outcome
1 Find the mean. Average of the data set.
2 Subtract the mean from each score. Deviations from the mean.
3 Square each deviation. Squared deviations.
4 Add the squared deviations. Sum of squared deviations.
5 Divide the sum by the number of scores. Variance (for population).
6 Take the square root of the result from Step 5. Standard Deviation

Population vs. Sample Standard Deviation

While the core steps remain largely the same, it's important to note a key distinction between population standard deviation ($\sigma$) and sample standard deviation (s):

  • Population Standard Deviation: Used when you have data for every single member of an entire group (the "population"). In this case, you divide by the total number of scores (N), as outlined in the steps above.
  • Sample Standard Deviation: Used when you only have data from a smaller subset (a "sample") of a larger population. To get an unbiased estimate of the population standard deviation from a sample, Step 5 is modified: you typically divide the sum of squared deviations by the number of scores minus one (n-1), instead of just n. This is known as Bessel's correction.

Understanding how to calculate standard deviation is vital in various fields, from assessing data consistency in scientific experiments to analyzing financial risk in investments, providing a clear picture of data spread.

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