Margin Calculator
Calculate selling price, cost, profit, gross margin, and markup in one place with clean step-by-step work.
How to Use
- Enter the values you already know, such as cost and selling price.
- Select what you want to solve for using the solve mode buttons.
- Review the instant results for profit, margin, and markup.
- Open Show Work to see formulas and calculation steps.
Show Work (step-by-step)
Margin & Markup Formulas
Quick answer: Margin and markup are not the same thing.
This calculator helps you switch between cost, selling price, profit, gross margin %, and markup %.
- Profit: Profit = Selling Price − Cost
- Gross Margin %: Margin = (Profit ÷ Selling Price) × 100
- Markup %: Markup = (Profit ÷ Cost) × 100
- Selling Price from Margin: Price = Cost ÷ (1 − Margin Decimal)
- Selling Price from Markup: Price = Cost × (1 + Markup Decimal)
FAQ
What is the difference between margin and markup?
Margin is profit as a percentage of selling price. Markup is profit as a percentage of cost. They use different bases, so the percentages are different.
Can margin be negative?
Yes. If your selling price is lower than your cost, profit becomes negative and your margin is negative.
Why is a 50% margin not the same as a 50% markup?
Because 50% margin means profit is half of selling price, while 50% markup means profit is half of cost.
Can I use this for products and services?
Yes. It works for product pricing, labor pricing, wholesale pricing, retail pricing, service quotes, and internal business planning.
Tool Info
Last updated:
Updates may include formula validation, UI refinements, formatting improvements, and edge-case handling.