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Margin Calculator

Calculate gross profit, margin percentage and markup percentage from cost and selling price.

How to use this tool

Enter cost and selling price in the same currency, then select Calculate.

Important to know

Calculate gross profit, margin percentage and markup percentage from cost and selling price.

This is gross profit before overhead, taxes, shipping and other expenses. Markup is undefined when cost is zero. Negative profit indicates a loss.

Formula and methodology

Gross profit = selling price − cost; margin % = profit ÷ selling price × 100; markup % = profit ÷ cost × 100 when cost is nonzero.

Example

Cost 60.00 and selling price 100.00 produce profit 40.00, margin 40% and markup 66.67%.

Frequently asked questions

Are margin and markup the same?

No. Margin divides profit by selling price; markup divides profit by cost.