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Margin and markup are constantly confused, yet they are two different figures from the same profit. From the cost price and the selling price this calculator shows the profit per item, the margin and the markup. The margin measures the profit as a share of the selling price, the markup measures the same profit as a share of the cost. Both are given in percent but come out differently.
The calculation runs entirely locally in your browser, in pure JavaScript - nothing is uploaded and nothing is stored. The profit is selling price minus cost price. The margin is profit divided by selling price, the markup is profit divided by cost price - each times 100. If you sell below cost all three figures are negative. Change a price and everything updates instantly.
An honest note: this is the calculation for a single product before tax. Value-added tax is not included - the VAT calculator handles that; fixed costs, discounts or quantity tiers are not modelled. The amounts are shown in euros as an example; the maths applies to any currency.
The conversion classic worth memorising: a 50 percent markup on the purchase price yields only about 33 percent margin on the selling price - because the margin divides the same profit by the bigger number. In general: margin = markup divided by (1 + markup). Anyone pricing a catalogue never mixes up the two directions without paying for it.
Specifications
Specifications
Input formats
Form inputs (no file)
Processing
Locally in your browser (JavaScript)
File upload
None
In 3 steps
Enter the cost price.
Enter the selling price.
Read off the profit, margin and markup; the result updates instantly.
Limitations: A single-product calculation before tax; value-added tax is not included (use the VAT calculator). Fixed costs, discounts and quantity tiers are not modelled. Amounts in euros as an example - the maths applies to any currency.
FAQ
Are my inputs uploaded?
No. The calculation runs entirely locally in the browser (pure JavaScript); nothing is sent or stored.
What is the difference between margin and markup?
Margin is the profit as a share of the selling price, markup is the same profit as a share of the cost. Markup is always the larger number.
How do I work out the margin?
Margin = (selling price minus cost) divided by selling price times 100. Example: cost 70, selling 100 gives a 30 % margin.
Is VAT included?
No, the calculator works before tax. For net/gross and tax, use the VAT calculator.