Work out your margin and markup, or find the selling price you need to hit a target
This is a free profit margin and markup calculator that shows both numbers at once. Enter what an item or job costs you and what you sell it for, and it returns your profit, your profit margin, and your markup instantly. If you know your cost and the margin or markup you want, switch modes and it works out the selling price to charge. There is nothing to sign up for and nothing to install. If you searched for a profit margin calculator, a markup calculator, a gross margin calculator, or a selling price calculator, this is the tool.
To find a selling price from a markup, choose "Cost & target margin", set the target basis to Markup, enter your cost, and type the markup percentage. A cost of 100 with a 50% markup gives a selling price of 150 and a profit of 50. The calculator also shows the margin on that price, which is 33.33%.
| Cost | Markup | Selling price | Profit | Margin on that price |
|---|---|---|---|---|
| 100.00 | 10% | 110.00 | 10.00 | 9.09% |
| 100.00 | 25% | 125.00 | 25.00 | 20.00% |
| 100.00 | 30% | 130.00 | 30.00 | 23.08% |
| 100.00 | 50% | 150.00 | 50.00 | 33.33% |
| 100.00 | 100% | 200.00 | 100.00 | 50.00% |
To find the price that gives a target margin, choose "Cost & target margin", set the target basis to Margin, enter your cost, and type the margin you want. The price is the cost divided by one minus the margin. A cost of 100 with a 30% margin needs a selling price of 142.86, which gives 42.86 of profit.
| Cost | Target margin | Selling price | Profit | Markup on cost |
|---|---|---|---|---|
| 100.00 | 10% | 111.11 | 11.11 | 11.11% |
| 100.00 | 20% | 125.00 | 25.00 | 25.00% |
| 100.00 | 30% | 142.86 | 42.86 | 42.86% |
| 100.00 | 40% | 166.67 | 66.67 | 66.67% |
| 100.00 | 50% | 200.00 | 100.00 | 100.00% |
A common reason to use this calculator is to convert between the two numbers. Enter any cost, choose the basis you know, type the percentage, and the other one appears in the results. The table shows the most common conversions.
| If your markup is | Your margin is | If your margin is | Your markup is |
|---|---|---|---|
| 10% | 9.09% | 10% | 11.11% |
| 20% | 16.67% | 20% | 25.00% |
| 25% | 20.00% | 25% | 33.33% |
| 30% | 23.08% | 30% | 42.86% |
| 40% | 28.57% | 40% | 66.67% |
| 50% | 33.33% | 50% | 100.00% |
| 75% | 42.86% | 60% | 150.00% |
| 100% | 50.00% | 75% | 300.00% |
Gross profit margin is your revenue minus the direct cost of what you sold, as a percentage of revenue. Enter the direct cost of the item or job as the cost price and the revenue as the selling price, and the margin shown is your gross profit margin. Include only costs that belong to that sale, such as materials, labour, and freight, if you want a gross figure.
Enter the price you pay a supplier as the cost and your shelf price as the selling price to see your margin on that line. To set a shelf price, use the target mode with the margin your shop needs to cover rent, wages, and profit.
Put the full landed cost of the product in the cost field, including purchase price, shipping in, and packaging, then enter your listing price. If platform fees apply, add them to the cost so the margin you see is the margin you keep.
Enter the ingredient and packaging cost of a dish as the cost and the menu price as the selling price. To price a new dish for a 70% margin, use the target mode, choose Margin, and type 70.
Add up labour, materials, and any subcontractors as the cost of the job, then enter what you charged. The margin shows the share of the price that was profit, and the markup shows the profit on top of your costs. Compare it against similar jobs to see which ones pay best.
Enter your buying price and the markup you apply to trade or retail customers. Working out both wholesale and retail prices from the same cost helps you see how much margin each channel leaves you.
Enter your direct cost for a project, such as subcontractor fees and software, and the price you quoted to see the margin. To price your own time properly first, use the freelance hourly rate calculator.
For any other cost, the price scales in proportion. A cost of 250 with a 40% margin needs a selling price of 416.67. To check any figure, type it into the calculator.
A worked example: an item costs 80 and sells for 120. Profit is 40, margin is 40 divided by 120, or 33.33%, and markup is 40 divided by 80, or 50%. Our guide to profit margin vs markup explains why small businesses confuse the two, and how to price a job shows how to apply them to quotes.
Once you have a selling price, put it on a document. Create a quotation to send it to a client or an invoice when the job is done. If your selling price needs tax added, use the VAT and sales tax calculator to add it, and remember that margin and markup are calculated on the price excluding tax.
Yes. This profit margin and markup calculator is free and needs no account, no login, and no email address.
Yes. Enter a cost and a selling price and it shows the margin and the markup side by side, so you never confuse the two.
Subtract the cost from the selling price to get the profit, divide the profit by the selling price, then multiply by 100. Enter both prices and the calculator does it for you.
Subtract the cost from the selling price, divide the result by the cost, then multiply by 100. Enter both numbers and the calculator does this instantly.
Switch to "Cost & target margin", choose Margin, enter your cost and the margin you want, and the calculator shows the selling price. By hand, divide the cost by one minus the margin.
Switch to "Cost & target margin", choose Markup, enter your cost and the markup you want, and the calculator shows the selling price. By hand, multiply the cost by one plus the markup.
Divide your cost by 0.7. For a cost of 100, the selling price is 142.86.
Divide your cost by 0.5, which means doubling it. For a cost of 100, the selling price is 200.
A 50% markup is a margin of 33.33%. The profit is 50 on a selling price of 150.
Divide the markup by one plus the markup. A 25% markup is 0.25 divided by 1.25, which is a 20% margin.
Divide the margin by one minus the margin. A 20% margin is 0.20 divided by 0.80, which is a 25% markup.
No. Margin is profit as a share of the selling price, so it can approach 100% but never reach it. Markup has no such limit, so a markup of 200% or 300% is possible.
Yes. Enter the direct cost of what you sold as the cost price and the revenue as the selling price, and the margin shown is your gross margin.
Yes. Enter the cost of the dish, product, or order and the price you charge, and the calculator shows the margin and markup for that item.
Yes. Enter the job's full cost, including materials, labour and overhead, and your target margin to get the selling price to quote.
Calculate it on the price excluding tax. VAT, GST, and sales tax are collected for the tax authority and are not part of your revenue.
Yes. The calculator works in your browser on iPhone and Android, with nothing to install.
Yes. Change the currency symbol and the results are shown in your currency. The percentages are the same in every currency.