Boost Your Profits: Calculate Markup & Margin Instantly!
Markup & Margin Calculator
Calculate the markup percentage and profit margin percentage for your products or services.
Input Your Data
The cost to acquire or produce the item.
The price at which you sell the item.
Your Results
Markup Percentage:
0.00%
The percentage by which the cost of a product is increased to arrive at its selling price.
Profit Margin Percentage:
0.00%
The percentage of revenue that is profit.
How It Works
- Enter the cost of your product or service.
- Input the selling price of your product or service.
- Click "Calculate" to see your markup and profit margin percentages.
- The "Clear" button will reset all fields.
Formula for Markup Percentage: ((Selling Price - Cost) / Cost) × 100
Formula for Profit Margin Percentage: ((Selling Price - Cost) / Selling Price) × 100
How the markup and margin calculator works
Markup is profit as a percentage of cost. Margin is profit as a percentage of selling price. They use the same profit figure but different bases, so margin is always lower than markup.
Margin % = (Price − Cost) ÷ Price × 100
Worked example
An item costs 60 and sells for 100. Profit = 40. Markup = 40 ÷ 60 × 100 = 66.7%. Margin = 40 ÷ 100 × 100 = 40%.
Frequently asked questions
What is the difference between markup and margin?
Markup is calculated on cost and margin is calculated on selling price. A 40% margin equals a 66.7% markup.
Why do people confuse them?
Both describe profit as a percentage, so they are easy to mix up. Always check which base, cost or price, is being used before setting prices.
Related: Gross profit margin · Gross profit · All calculators
