Margin calculator
Free tool · Markup calculator
What price does your markup give you?
Enter a cost and a markup and see the selling price and the margin it leaves.
EXAMPLE$11.60 + 45% = $16.82
Questions
Subtract the cost from the price and divide the result by the price. A part that costs $11.60 and sells for $16.90 makes $5.30, and $5.30 ÷ $16.90 is a 31.4% margin. Use the landed cost, including freight and duty, for the real figure.
Divide the cost by one minus the margin. For a 30% margin on an $11.60 cost, the price is $11.60 ÷ 0.70 = $16.57. Adding 30% to the cost gives $15.08, which is only a 23.1% margin.
Margin is profit as a share of the price. Markup is profit as a share of the cost. The same $5.30 profit on a $16.90 sale is a 31.4% margin and a 45.7% markup, so always say which one you mean.