Profit Margin Calculator

Calculate profit margin and markup from cost and selling price — or work backwards to the price you need for a target margin or markup, or the cost a price and margin allow. Results always show profit, margin and markup side by side.

This tool runs entirely in your browser.

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How to use the Profit Margin Calculator

1Choose what you know: cost and price, cost and margin, cost and markup, or price and margin.
2Enter the two values.
3Read the missing figure plus profit, margin and markup.

What is the Profit Margin Calculator?

Margin is profit as a percentage of the selling price; markup is profit as a percentage of the cost. Buying at 60 and selling at 100 is a 40 % margin but a 66.7 % markup — mixing the two up is one of the most common pricing mistakes.

To hit a target margin, price = cost ÷ (1 − margin); for a target markup, price = cost × (1 + markup). A 40 % margin on a 60 cost needs a price of 100.

Frequently asked questions

Can a margin be more than 100 %?

No — margin is a share of the price, so it is always below 100 %. Markup has no upper limit: selling for three times the cost is a 200 % markup.

Should I include VAT or sales tax?

Usually no. Calculate margins on net prices (excluding VAT); use the VAT calculator to add tax afterwards.

Is the Profit Margin Calculator free and private?

Yes. The Profit Margin Calculator is free, needs no account, and runs entirely in your browser. What you type is never sent to a server or stored.

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