Markup vs Margin Calculator

Markup is profit as a share of your cost. Margin is profit as a share of your price. Mixing them up is the most common way a quote ends up underpriced. Enter your cost and either number; the other one is calculated. Everything runs in your browser; nothing is stored or sent.

Your cost ($)

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Percent

How it works

Price = cost × (1 + markup). Margin = (price − cost) ÷ price. So markup = margin ÷ (1 − margin), and margin = markup ÷ (1 + markup). Example: a 25% margin equals a 33.3% markup, not 25%. Adding 25% markup to a $700 cost gives $875, which is only a 20% margin.

Estimates for planning only. This is not accounting, tax or legal advice.