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Profit Margin & Markup Calculator
Enter cost and selling price to see gross profit, margin percentage and markup percentage instantly.
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Profit margin and markup formulas
Gross profit = selling price − cost. Profit margin = gross profit ÷ selling price × 100. Markup = gross profit ÷ cost × 100.
For a cost of $100 and a selling price of $150, gross profit is $50, margin is 33.3%, and markup is 50%. Margin uses the selling price as its base; markup uses cost, so the percentages are different even for the same sale.
What this estimate includes
The calculator uses only the cost and selling price entered. It does not add tax, overhead, shipping, payment fees or other costs automatically; include relevant amounts in your cost input if that matches the decision you are making.
For quote quantity and discount calculations, use the Quote Margin Calculator. For fixed-cost break-even planning, use the Break-even Calculator.
Related calculations: Quote Margin Calculator · Break-even Calculator
Need help?
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The tool is intentionally simple. Open an answer only when you need it.
How does this tool work?
- Enter your unit cost.
- Enter the selling price.
- See profit, gross margin and markup side by side.
What is the difference between margin and markup?
Margin compares profit with selling price. Markup compares profit with cost. They describe the same sale from different bases.
Does this include tax or overhead?
No. The calculator uses the cost and selling price you enter. Add any costs you want included before calculating.
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