Toolverge

Margin & Markup Calculator

A margin and markup calculator finds the relationship between cost, selling price, and profit — two numbers ecommerce and retail sellers routinely confuse. Margin is profit as a percent of selling price; markup is profit as a percent of cost. Toolverge solves in either direction: enter known prices to find both percentages, or enter cost plus a target margin or markup to find the selling price.

Educational estimate only. Results are not medical, legal, or financial advice. Confirm important decisions with a qualified professional.

Known values

Selling price

100.00

Profit: 40.00 · Margin: 40.0% · Markup: 66.7%

How it works

  1. Choose what you know: both prices, cost + target margin, or cost + target markup.
  2. Enter the cost and the other value.
  3. Read the selling price, profit, margin %, and markup % on the tape.

Formula Profit = Revenue − Cost; Margin % = Profit / Revenue × 100; Markup % = Profit / Cost × 100

Frequently asked questions

What is the difference between margin and markup?

Margin is profit divided by selling price (revenue); markup is profit divided by cost. The same $40 profit on a $60 cost is a 40% margin (on $100 revenue) but a 66.7% markup (on $60 cost) — they’re never equal except at 0%.

How do I price a product for a target margin?

Selling price = Cost ÷ (1 − target margin / 100). A 40% margin on a $60 cost needs a $100 price.

How do I price a product for a target markup?

Selling price = Cost × (1 + target markup / 100). A 50% markup on a $60 cost gives a $90 price.

Why can’t I enter a 100% or higher target margin?

A 100% margin implies zero cost relative to revenue, and dividing by (1 − 1) is undefined — pick a markup target instead if that’s what you mean.

Does this include taxes or shipping?

No — it’s pure cost-to-price math. Add tax with the Sales Tax Calculator separately.