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Profit Margin Calculator

Calculate profit, profit margin %, and markup from cost and selling price.

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About the Profit Margin Calculator

Profit margin shows what share of the selling price is profit (profit ÷ price). Markup shows profit relative to cost (profit ÷ cost). Confusing the two leads to underpricing — a 50% markup is only a 33% margin.

Enter cost and selling price to see profit, margin, and markup instantly. Or set a target margin to find the price you need to charge.

How to calculate profit margin

  1. Enter your product or service cost.
  2. Enter the selling price (or a target margin % to reverse-calculate price).
  3. Review profit, margin %, markup %, and required price.

Frequently asked questions

What is the difference between margin and markup?

Margin = profit ÷ selling price. Markup = profit ÷ cost. A $50 cost sold at $100 is 50% margin and 100% markup.

How do I price for a 40% margin?

Price = cost ÷ (1 − 0.40). Use the target margin field in this calculator to get that price automatically.

Is my data private?

Yes. All math runs in your browser — nothing is uploaded.

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