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Markup Calculator

Markup is the percentage you add to cost to get a selling price. This calculator finds the price for a given markup and shows the resulting profit.

How it works Report a problem

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Premium pricing optimization and profit strategy

$
%
Retail Selling Price
$0.00
$0.00 Gross Profit
Net Margin 0.00%
Cost Recovery $0.00

Markup is the percentage added to cost to reach a selling price. It is simple, but it is not the same as margin, and mixing the two quietly underprices products. This calculator finds the price, the profit and the equivalent margin from any cost and markup.

How to use this calculator

  • Enter the cost of the product or job.
  • Add the markup percentage you want to apply.
  • Press calculate to see the selling price, the profit and the margin that markup produces.

Converting markup to margin

A 25% markup on cost is a 20% margin on price; a 100% markup is a 50% margin. The price is always the bigger number, so the margin is always the smaller percentage. If a target margin is what you actually need, divide cost by (1 − margin) instead of adding a markup, and check the result here.

Frequently asked questions

What is the markup formula?
Price = cost × (1 + markup/100). Profit = price − cost.
Why do my accounts show a different percentage than my pricing?
Accounts report margin (profit out of sales); pricing often uses markup (profit on top of cost). Same profit, two different bases.
What markup should I use?
One whose resulting margin covers all overheads and leaves profit. Work back from the margin you need, then read off the markup that delivers it.