Markup Calculator
Markup is the amount you add to a product's cost to reach its selling price, expressed as a percentage of the cost. This calculator works both ways: give it a cost and a markup to find the price, or a cost and a price to find the markup — plus the resulting profit and margin.
- Free — no sign-up
- Private — runs in your browser
- Instant results
How to use the Markup Calculator
- 1Enter the cost. Type what the item costs you to produce or purchase.
- 2Enter markup or price. Provide either the markup percentage or the selling price — the calculator fills in the rest.
- 3Review the breakdown. See selling price, profit per unit, markup %, and the equivalent profit margin %.
Examples
Applying a 60% markup to a $25 item
Cost: $25
Markup: 60%Selling price: $40
Profit: $15
Margin: 37.5%Adding 60% of the $25 cost ($15) gives a $40 price. That $15 profit is 37.5% of the $40 price — so a 60% markup is a 37.5% margin.
Working backward from a known price
Cost: $80
Price: $120Markup: 50%
Profit: $40
Margin: 33.3%If you already sell at $120 and it costs $80, your markup is 50% ($40 ÷ $80). Use this direction to check the effective markup on prices you've already set.
Frequently asked questions
How do I calculate markup?
Markup % = (Selling Price − Cost) ÷ Cost × 100. If an item costs $20 and sells for $30, the markup is 50%.
What markup percentage should I use?
It depends on your industry, overhead, and competition. Retail often uses 50–100%, while some services use much higher. Use the margin readout to confirm you're covering costs and desired profit.
Why is my markup higher than my margin for the same product?
Markup and margin measure the same profit against different bases. Markup is profit ÷ cost; margin is profit ÷ price. Because the price is always larger than the cost, the markup percentage is always the bigger number. A 50% markup equals a 33.3% margin.