Margin to markup and back
Markup = margin ÷ (1 − margin). Margin = markup ÷ (1 + markup). So a 25% margin needs a 33.3% markup, and a 100% markup gives a 50% margin.
Profit Margin Calculator
Find margin, markup and profit — or the price you need for a target margin.
- 100% free
- Margin and markup
Profit margin
38.46%
Profit $25.00 per sale
- Margin
- 38.46%
- Profit ÷ price
- Markup
- 62.50%
- Profit ÷ cost
Calculation
Margin = (price − cost) ÷ price · Markup = (price − cost) ÷ cost
- A 50% markup is a 33.3% margin; a 50% margin needs a 100% markup.
Last reviewed by the OnlineToolPro team
What is the Profit Margin Calculator?
Works out profit margin and markup from cost and price, or the selling price you need for a target margin or markup — and makes the difference between margin and markup clear.
How it works
How to use the Profit Margin Calculator
3 simple steps. No experience needed.
What can you use it for?
- Price a product for a target margin.
- Check the margin on a quote.
- Convert between markup and margin.
Good to know
FAQ
Frequently asked questions
What's the difference between margin and markup?
Margin is profit as a share of the price; markup is profit as a share of the cost. A 50% markup is only a 33.3% margin.
How do I price for a 40% margin?
Divide the cost by 0.6 (1 − 0.40). A product costing 30 needs a price of 50.
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