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Margin & Markup Calculator

Convert between Margin and Markup to set profitable prices

Confusing Margin and Markup is a common mistake that can cost businesses money. Use this tool to calculate your selling price based on your desired profit metrics.

Calculator Inputs

$
%

Enter Margin or Markup %

$

Only used if solving for Profit

Results

Enter values above to see your results

How It Works

Markup is the % added to Cost. Margin is the % of Profit in the final Price. (Markup = Profit/Cost, Margin = Profit/Price).

Tips & Best Practices

  • A 50% Markup equals a 33.3% Margin.
  • To get a 50% Margin, you need a 100% Markup.
  • Margin can never exceed 100%, but Markup can be infinite.

Frequently Asked Questions

What is the difference?

Markup is based on cost (Cost + Markup = Price). Margin is based on revenue (Price - Cost = Margin).