Profit Margin Calculator
Enter a cost and a selling price to see your profit, margin and markup — or set the price you need for a target margin. Everything runs in your browser.
From cost & price
Price for a target margin
How to use the margin calculator
- Enter your cost and selling price to see profit, margin % and markup %.
- Or enter a cost and a target margin to get the price you should charge.
- Use the same currency for both numbers — the calculator is currency-neutral.
Remember: margin is of the price, markup is of the cost, so the markup % is always the larger of the two.
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Frequently asked questions
What is the difference between margin and markup?
Margin is profit as a share of the selling price: (price − cost) ÷ price. Markup is profit as a share of the cost: (price − cost) ÷ cost. The same deal always has a higher markup % than margin %.
How do I calculate profit margin?
Subtract the cost from the selling price to get the profit, then divide the profit by the selling price and multiply by 100. For example, a $100 item costing $60 has a $40 profit and a 40% margin (and a 66.7% markup).
How do I set a price from a target margin?
Enter your cost and the margin you want in the second box — the calculator shows the price to charge so you hit that margin: price = cost ÷ (1 − margin ÷ 100).
What is a good profit margin?
It depends on the industry: retail often runs 20–50%, software much higher, and groceries very thin. Compare against similar businesses rather than a single rule.
Does it include tax or fees?
No. It works with the cost and price you enter, before taxes, shipping and transaction fees. Include those in your cost if you want them counted.
Is it free?
Completely free, no sign-up — everything runs in your browser.