Margin Calculator

Profit margin = (Revenue − Cost) ÷ Revenue × 100. Markup = (Revenue − Cost) ÷ Cost × 100. A 50% markup gives a 33.3% margin — they are not the same.

Profit margin = ((Selling Price − Cost) ÷ Selling Price) × 100. Markup = ((Selling Price − Cost) ÷ Cost) × 100. Example: cost $60, sell $100 → margin = 40%, markup = 66.7%.

Key Features

• Calculate selling price from cost and desired profit margin %.
• Calculate gross profit margin from cost and selling price.
• Calculate markup percentage.
• Shows gross profit amount in currency.
• Runs entirely in your browser — no financial data sent anywhere.

How to Use the Tool

1. Enter the cost price of the product.
2. Either enter the selling price (to calculate margin) or enter your target margin % (to calculate the required selling price).
3. The gross profit, margin %, and markup % are displayed instantly.

Core Benefits

• Avoid confusing margin and markup — different values that are often mixed up in business.
• Set selling prices that achieve a specific gross margin target.
• Quickly evaluate whether supplier cost increases erode your margins beyond acceptable levels.

Common Use Cases

• A retailer setting a selling price to achieve a 40% gross margin.
• Checking if a product's margin justifies its shelf space.
• Comparing margins across different product lines.
• Negotiating supplier prices — calculating the maximum cost to maintain margin.
• Reporting gross profit to investors or management.

Pro Tips

• Margin and markup are calculated from different bases. 50% markup = 33.3% margin. 50% margin = 100% markup. Never confuse them when setting prices.
• A 60% margin means 60 cents of every revenue dollar is profit (before overhead). A 60% markup means you added 60% of cost to get the price.