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Margin & Markup Calculator
Enter cost and price to get profit, margin and markup — or pick a target margin and get the price to charge.
Margin isn’t markup: margin is profit as a share of the price (profit ÷ price), markup is profit as a share of the cost (profit ÷ cost). A product that costs $40 and sells for $65 has a 38.5% margin but a 62.5% markup. A margin can never reach 100%; a markup can be any size.
About the Margin & Markup Calculator
The Margin and Markup Calculator works out gross profit, gross margin and markup from a cost and selling price — or finds the price to charge for a target margin or markup. Enter units sold to see total profit. It helps shop owners, resellers and freelancers price products correctly and avoid mixing up margin and markup.
How to use the Margin & Markup Calculator
- Choose whether you know the cost and price, want a price from a target margin or want a price from a markup.
- Enter the cost and the price, margin or markup.
- Add units sold for total profit if you like.
- Read the selling price, profit, margin and markup.
Frequently asked questions
What is the difference between margin and markup?
Markup is profit as a percentage of cost. Margin is profit as a percentage of the selling price. A product that costs 60 and sells for 100 has a 67% markup but a 40% margin.
How do I price for a 30% margin?
Divide the cost by (1 − 0.30). A cost of 70 gives a price of 100.
Can margin be more than 100%?
No. Margin can’t exceed 100% because profit can never be more than the price. Markup, on the other hand, can be any size.