Markup Calculator — Markup to Margin & Selling Price
Turn cost and markup into a selling price, convert markup to margin (and back) with the exact formulas, and check common markup-to-margin pairs in one place. Free, no signup, all client-side.
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Free Profit Margin Calculator — Margin, Markup & Selling Price
Enter what you know and solve the rest: profit, margin %, markup %, the price needed for a target margin, or the implied cost behind a price. Optional VAT / sales tax handling, everything client-side.
No uploads. Everything runs locally in your browser.
Work out your profit margin in seconds — and the markup that goes with it, so the two bases never blur together. This free profit margin calculator solves any one unknown: enter cost and price for profit and margin %, enter a cost and a target margin for the price you must charge, or enter a price and a margin for the implied cost. Add a VAT, GST, or sales tax rate and choose whether it is included in the price or added on top — the tool labels exactly which revenue base the margin uses. Everything runs in your browser; nothing is uploaded.
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What do you want to solve?
Enter what an item costs you and what you sell it for — get profit, margin %, and markup %.
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Your numbers
Profit, margin, and markup all come from this one pair of numbers.
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Tax / VAT (optional)
Leave this off if your prices and costs are already tax-free.
Margin & markup from cost and price
Profit per unit
$40.00
Profit margin
40%
Cost$60.00
Revenue (selling price)$100.00
Profit margin40%
Markup66.67%
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What Is Profit Margin?
Profit margin is the share of the selling price you keep as profit: (price − cost) ÷ price × 100. Markup measures the same profit against the cost instead: (price − cost) ÷ cost × 100. A $60 item sold for $100 has a 40% margin and a 66.67% markup — same profit, different denominator. Margin is the better number for comparing products and channels, because it shows how much of each sales dollar stays with you.
Quick Worked Examples
- Cost $90, target margin 40% → price $150.00, because 90 ÷ (1 − 0.4) = 150.
- Cost $25, target profit $15 → price $40.00.
- Price $100, cost $60 → profit $40.00, margin 40% and markup 66.67%.
Calculations are estimates for pricing decisions and run entirely in your browser. They do not account for marketplace fees, shipping, payment processing, or overhead — pair them with a fee calculator before you set a final price.
How to use Profit Margin Calculator — Margin, Markup & Selling Price
- Choose what to solve: cost + price for margin and markup, cost + target margin for the price you need, or price + margin for the implied cost.
- Enter the numbers you know and optionally add a VAT / sales tax rate — included in the price or added on top.
- Read profit, margin %, and markup %, then copy the summary, share a link that restores your inputs, download a CSV, or print the breakdown.
Key features of Profit Margin Calculator — Margin, Markup & Selling Price
- Three solve directions: cost + price → margin and markup; cost + target margin → required price; price + margin → implied cost and profit
- Reverse pricing from a target margin using price = cost ÷ (1 − margin ÷ 100), rounded up to the next cent so the achieved margin never undershoots
- Markup shown next to every margin result, so the two bases never get mixed up
- Optional tax / VAT / GST handling: added on top of the price or included within it, with the revenue base clearly labeled
- Dash placeholders for undefined results — no NaN or Infinity on screen
- Copy summary, shareable link that restores every input, CSV download, and print-friendly breakdown
- Industry benchmark table for a quick sanity check on what 'good' looks like by sector
Profit Margin Calculator — Margin, Markup & Selling Price — key benefits
- Completely free with no signup or registration required.
- Runs entirely in your browser — your data is never uploaded.
- Works on desktop, tablet, and mobile devices.
- Instant results with no waiting or processing queues.
- Part of the ToolCircuit suite of free online ecommerce tools tools.
Who Uses This Profit Margin Calculator
🛒 Online & Marketplace Sellers
Price a listing for the profit margin you want, then check the markup against your storefront conventions. Enter the price a customer sees and see instantly whether the margin survives.
🏪 Retail & Local Shops
Before a sale or a repricing round, run each product through the margin calculator to confirm the discount still leaves a workable spread between cost and price.
🧰 Freelancers & Service Businesses
Use the reverse mode to quote a project at a target margin, or the implied-cost mode to see what a competitor's price implies about their costs.
📦 Small Businesses & Dropshippers
Keep a floor on every SKU: set the minimum margin you accept, and use the target-margin mode to turn that rule into a concrete selling price.
Typical Profit Margin Ranges by Industry
Use these widely cited ranges as a sanity check when you judge a gross margin calculator result — they are typical benchmarks, not targets or guarantees.
| Industry | Typical margin | What the figure reflects |
|---|---|---|
| Grocery & supermarkets | 1–3% | Net margin — very high volume, thin profit on each item. |
| Retail & clothing | 4–13% | Net margin — varies widely with brand, channel, and seasonality. |
| Restaurants | 3–5% | Net margin — food, labor, and rent consume most of the revenue. |
| SaaS & software | 70–90% | Gross margin — hosting and delivery costs scale slowly with revenue. |
Ranges are broad industry averages and differ in basis: the software figure is usually quoted as gross margin, while the others are net margins. They are a rough guide only — your own costs, channel fees, and tax situation determine what is realistic for you.
Other Seller Tools
FAQ
How do I calculate profit margin?
Profit margin = (selling price − cost) ÷ selling price × 100. If an item costs $60 and sells for $100, the profit is $40 and the margin is 40% ($40 ÷ $100). This calculator runs that formula for you and can also solve backwards — for the price or the cost.
What is a good profit margin?
It depends on your industry. Typical published ranges are about 1–3% for grocery, 4–13% for retail and clothing, 3–5% for restaurants, and 70–90% gross margin for software and SaaS. Treat these as rough benchmarks, not guarantees — and remember that company-wide net margins also absorb overhead that a unit-level margin does not.
What is the difference between margin and markup?
Margin is a percentage of the selling price; markup is a percentage of the cost. At a $60 cost and a $100 price, the margin is 40% but the markup is 66.67% — same profit, different base. A 50% markup is only a 33.33% margin.
How do I calculate a selling price from a target margin?
Use price = cost ÷ (1 − margin ÷ 100). For a $90 cost and a 40% target margin: 90 ÷ 0.6 = $150. This calculator rounds the price up to the next cent and verifies the result forward, so the achieved margin never falls below your target.
How does VAT or sales tax affect my margin?
If the price you charge includes VAT or sales tax, part of that money belongs to the tax authority — so the margin should be based on revenue excluding tax: price ÷ (1 + rate). If tax is added on top at checkout, your revenue is the full price and the tax is shown separately, so it does not change the margin on the sale. This tool labels which base is in use.