Business Finance
Markup Calculator
Convert product cost and selling price into markup and margin, or set a target markup to calculate the required selling price.
Markup percentage
60.00%
Results update when the form is submitted.
Detailed breakdown
- Markup amount
- $30.00
- Markup percentage
- 60.00%
- Selling price
- $80.00
- Gross profit
- $30.00
- Profit margin percentage
- 37.50%
How this calculator works
Markup is measured against cost. Margin is measured against selling price, which is why the two percentages differ.
Formula
markup = (selling_price - cost) / cost * 100Example calculation
A product that costs 50 and sells for 80 has a 30 markup amount, 60% markup, and 37.5% margin.
Important considerations
Use markup for pricing from cost, but use margin to understand profitability on revenue.
FAQs
Why is markup higher than margin?
Markup divides profit by cost, while margin divides profit by selling price.
Can I enter a target markup?
Yes. Select target-markup mode and the calculator will solve for selling price.
Related tools
Profit Margin Calculator, Break Even Calculator, Project Pricing Calculator
Related guides
Profit Margin vs Markup: What Is the Difference?, How to Price a Product or Service for Profit
Disclaimer
Results are estimates for planning purposes and are not financial, tax, legal, accounting, or investment advice.