diff --git a/README.md b/README.md
index f192ed8..5d9d93b 100644
--- a/README.md
+++ b/README.md
@@ -143,7 +143,7 @@ $money->decimals(); // 100.0
 
 ### Formatting money
 
-You can format money using the `->formatted()` method:
+You can format money using the `->formatted()` method. It takes [display decimals](#display-decimals) into consideration.
 
 ```php
 $money = Money::fromDecimal(40.25, USD::class);
@@ -166,6 +166,22 @@ $money = Money::fromDecimal(40.25, USD::class);
 $money->formatted(['decimalSeparator' => ',', 'prefix' => '$ ', 'suffix' => ' USD']);
 ```
 
+There is also a `->rawFormatted()` if you wish to use [math decimals](#math-decimals) instead of [display decimals](#display-decimals).
+```php
+$money = Money::new(123456, CZK::class);
+$money->rawFormatted(); // 1 235,56 Kč
+```
+
+And converting the formatted value back to the Money instance is also possible:
+```php
+$money = money(1000);
+$formatted = $money->formatted(); // $10.00
+$fromFormatted = Money::fromFormatted($formatted);
+$fromFormatted->is($money); // true
+```
+
+Note: `fromFormatted()` misses the cents if the [math decimals](#math-decimals) are greater than [display decimals](#display-decimals).
+
 ### Rounding money
 
 Some currencies, such as the Czech Crown (CZK), generally display final prices in full crowns, but use cents for the intermediate math operations. For example:
@@ -414,7 +430,7 @@ For the Czech Crown (CZK), the display decimals will be `0`, but the math decima
 
 For the inverse of what was just explained above, you can use the `rawFormatted()` method. This returns the formatted value, **but uses the math decimals for the display decimals**. Meaning, the value in the example above will be displayed including cents:
 ```php
-money(123456, new CZK)->rawFormatted(); // 1 235,56 Kč
+money(123456, new CZK)->rawFormatted(); // 1 234,56 Kč
 ```
 
 This is mostly useful for currencies like the Czech Crown which generally don't use cents, but **can** use them in specific cases.
diff --git a/src/Money.php b/src/Money.php
index 886fdcd..9eb22ab 100644
--- a/src/Money.php
+++ b/src/Money.php
@@ -171,6 +171,14 @@ final class Money implements JsonSerializable, Arrayable, Wireable
         ]));
     }
 
+    /** Create a Money instance from a formatted string. */
+    public static function fromFormatted(string $formatted, Currency|string $currency = null, mixed ...$overrides): self
+    {
+        $decimal = PriceFormatter::resolve($formatted, currency($currency), variadic_array($overrides));
+
+        return static::fromDecimal($decimal, currency($currency));
+    }
+
     /** Get the string representation of the Money instance. */
     public function __toString(): string
     {
diff --git a/src/PriceFormatter.php b/src/PriceFormatter.php
index 28fcd23..de243cc 100644
--- a/src/PriceFormatter.php
+++ b/src/PriceFormatter.php
@@ -22,4 +22,19 @@ class PriceFormatter
 
         return $currency->prefix() . $decimal . $currency->suffix();
     }
+
+    /** Extract the decimal from the formatter string as per the currency's specifications. */
+    public static function resolve(string $formatted, Currency $currency, array $overrides = []): float
+    {
+        $currency = Currency::fromArray(
+            array_merge(currency($currency)->toArray(), $overrides)
+        );
+
+        $formatted = ltrim($formatted, $currency->prefix());
+        $formatted = rtrim($formatted, $currency->suffix());
+
+        $removeNonDigits = preg_replace('/[^\d'.preg_quote($currency->decimalSeparator()).']/', '', $formatted);
+
+        return (float) str_replace($currency->decimalSeparator(), '.', $removeNonDigits);
+    }
 }
diff --git a/tests/Pest/MoneyTest.php b/tests/Pest/MoneyTest.php
index a860ee6..4ab046a 100644
--- a/tests/Pest/MoneyTest.php
+++ b/tests/Pest/MoneyTest.php
@@ -147,6 +147,18 @@ test('money can be formatted without rounding', function () {
     )->toBe('10,34 Kč');
 });
 
+test('money can be created from a formatted string', function () {
+    $money = Money::fromFormatted('$10.40');
+    expect($money->value())->toBe(1040);
+});
+
+test('money can be created from a raw formatted string', function () {
+    currencies()->add([CZK::class]);
+
+    $money = Money::fromFormatted('1 234,56 Kč', CZK::class);
+    expect($money->value())->toBe(123456);
+});
+
 test('converting money to a string returns the formatted string', function () {
     expect(
         (string) Money::fromDecimal(10.00, USD::class)