Markup Inputs
Calculate from cost and markup or work backward from a selling price.
Markup Calculator
Calculate selling price, markup amount, markup percentage, and profit margin
How It Works
Markup is calculated from cost, while margin is calculated from selling price. Keeping those bases separate prevents a common pricing mistake.
Use the reverse mode when you know the selling price and want to understand the implied markup or margin.
- Selling price = cost x (1 + markup percentage).
- Markup amount = selling price - cost.
- Markup percentage = markup amount / cost x 100.
- Margin percentage = markup amount / selling price x 100.
Formulas
Selling price = cost + (cost x markup %)
Markup % = (selling price - cost) / cost x 100
Margin % = (selling price - cost) / selling price x 100
Set a price
$40 cost with 50% markup
$60 selling price
A 50% markup produces a 33.33% margin on the final price.
Find markup
$75 cost and $100 selling price
33.33% markup and 25% margin
Markup and margin percentages use different denominators.
Target margin
$30 cost with 25% target margin
$40 selling price
A target margin requires a higher markup percentage than the margin percentage.
What is the difference between markup and margin?
Markup divides profit by cost. Margin divides profit by selling price, so the percentages are not interchangeable.
Can I calculate a price from a target margin?
Yes. The reverse mode solves selling price as cost divided by one minus the target margin.
Can markup be negative?
Negative markup represents selling below cost, but this calculator keeps standard planning inputs nonnegative.
Does this include taxes or fees?
No. Add them to cost if they should be included in the pricing basis.