Profit margin and markup calculator
Know exactly what you earn on every item. Enter the cost and the selling price, or the cost and the margin you want, and see the price to charge.
How it works.
Profit = selling price − cost. Margin % = profit ÷ selling price × 100. Markup % = profit ÷ cost × 100.
Margin and markup are different: an item bought at 80 and sold at 100 has a 25% markup but a 20% margin. To earn a margin of m% the selling price is cost ÷ (1 − m ÷ 100).
Common questions.
What is the difference between margin and markup?
Margin is the profit as a share of the selling price. Markup is the profit as a share of the cost. Margin is always the smaller number.
How much discount can I give?
Check the new margin at the discounted price. If it falls too low, the discount costs you more than it brings in.
Keep going.
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