Enter your cost and either markup or margin percentage. Instantly see selling price, profit, and a live visual breakdown. Switch modes anytime.
⏷ How We Calculate Everything
Markup Formula:
Selling Price = Cost + (Cost × Markup %)
Example: If cost = $100 and markup = 40%,
Selling Price = $100 + ($100 × 0.40) = $140
Margin Formula:
Selling Price = Cost / (1 – Margin %)
Example: If cost = $100 and margin = 40%,
Selling Price = $100 / (1 – 0.40) = $166.67
Profit:
Profit = Selling Price – Cost
Margin %:
Margin = (Profit ÷ Selling Price) × 100
Example: $66.67 profit on $166.67 sale = 40% margin
We use 2 decimal precision and display a dynamic bar to reflect how cost and profit stack up as a percentage of the final selling price.
How to Use the Markup vs Margin Calculator
This calculator helps you understand the difference between markup and margin: two key concepts for pricing products and tracking profitability.
Step 1: Enter Your Cost
This is how much it costs to produce or acquire your product or service.
Step 2: Choose Markup or Margin
– Markup is based on cost. It answers: “How much more do I charge on top of what it cost me?”
– Margin is based on price. It answers: “What percentage of the selling price is profit?”
Step 3: Enter the Percentage
Enter either your markup or margin percentage (based on the mode you selected). You’ll immediately see:
- Selling Price
- Profit
- Margin % (always shown)
Step 4: Review the Visual Breakdown
Blue represents your cost. Green shows your profit. The size of each bar reflects its share of the total selling price.