Profit Margin Calculator
Enter cost and selling price to get profit, profit margin and markup percentage instantly. For products, services and pricing.
- Runs privately in your browser
- Free, no sign-up
- Updated
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How to use the Profit Margin Calculator
- Enter what the product or service costs you.
- Enter the price you sell it for.
- See your profit, margin and markup instantly.
Profit margin = (selling price − cost) ÷ selling price × 100. Markup = (selling price − cost) ÷ cost × 100. Selling for 100 something that costs 60 gives a profit of 40, a 40% margin and a 66.67% markup.
Margin vs markup
| Compare | Margin | Markup |
|---|---|---|
| Compares profit to | Selling price | Cost |
| Formula | Profit ÷ price × 100 | Profit ÷ cost × 100 |
| Cost 60, price 100 | 40% | 66.67% |
Margin can never reach 100%; markup can be any size. Mixing them up is a common pricing mistake — a 50% markup is only a 33.3% margin.
Common markup → margin conversions
| Markup | Margin |
|---|---|
| 25% | 20% |
| 50% | 33.3% |
| 100% | 50% |
| 200% | 66.7% |
Frequently asked questions
Which currency does it use?
Any. Enter amounts in your own currency — the maths is the same everywhere.
What is a good profit margin?
It depends on the industry. Grocery stores often work on a few percent, while software and services can exceed 50%. Compare with businesses like yours.
Should I include shipping and fees in the cost?
Yes — include every cost of making and selling one unit (materials, shipping, payment fees) to see your true margin.
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