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CalcChef

Markup Calculator

Markup, sale price, profit and gross margin from a cost plus a markup %, a sale price or a profit. A 50% markup on $50 sells for $75.00 (33.33% margin). How it works

Use the Markup Calculator

Sale price
$60.00
Profit $10.00 · Gross margin 16.67%

Gross margin is profit as a share of the sale price, not of the cost. To price from a target margin, use the margin calculator.

About the Markup Calculator

A 50% markup on a $50 cost gives a $75.00 sale price, $25.00 profit and a 33.33% gross margin. Markup is profit divided by cost and margin is profit divided by the sale price, so for the same price the margin is always lower than the markup.

Markup and the margin it gives, on a $100 cost

MarkupSale priceProfitGross margin
10%$110.00$10.009.09%
20%$120.00$20.0016.67%
25%$125.00$25.0020.00%
30%$130.00$30.0023.08%
40%$140.00$40.0028.57%
50%$150.00$50.0033.33%
75%$175.00$75.0042.86%
100%$200.00$100.0050.00%
150%$250.00$150.0060.00%
200%$300.00$200.0066.67%

Margin = markup ÷ (100 + markup). The figures scale with the cost: on a $50 cost every sale price and profit is half as large and the margin is the same.

Markup to enter for a target margin, on a $100 cost

Target marginMarkup to enterSale priceMargin the tool shows
10%11.11%$111.1110.00%
20%25%$125.0020.00%
25%33.33%$133.3325.00%
30%42.86%$142.8630.00%
40%66.67%$166.6740.00%
50%100%$200.0050.00%
60%150%$250.0060.00%
75%300%$400.0075.00%

Markup = margin ÷ (100 − margin) × 100, rounded to two decimals. Typing the markup from this table gives the target margin back.

Frequently asked questions

What is the difference between markup and margin?
Markup is profit as a share of cost, and margin is profit as a share of the sale price. A $50 item sold for $75.00 has a 50% markup and a 33.33% margin, because the $25.00 profit is half of the cost but a third of the price.
How do I calculate selling price from cost and markup?
Multiply the cost by 1 plus the markup. An $80 cost with a 25% markup sells for $80 × 1.25 = $100.00, a profit of $20.00 and a 20.00% margin.
What markup gives a 40% margin?
A markup of 66.67%. The rule is markup = margin ÷ (100 − margin) × 100. A $100 cost at 66.67% sells for $166.67 and the margin shows 40.00%. To type the margin and get the price, use the profit margin calculator.
How do I set a retail price from wholesale cost?
Pick the markup you want and multiply the wholesale cost by 1 plus that markup. A $14 item at 60% sells for $22.40, a profit of $8.40 and a 37.50% margin. Doubling the cost, a 100% markup, sells it for $28.00 at a 50.00% margin.
Can the markup be negative?
Yes, a negative markup is a markdown. A $100 item marked down 20% sells for $80.00, a loss of $20.00, and the margin is −25.00%. A markup of −100% or less is refused because the sale price would be zero or negative; a markup just above −100% on a very small cost can still round the sale price to $0.00.
How do I find the markup from the cost and the selling price?
Choose Cost and sale price under Start from. Markup = (sale price − cost) ÷ cost × 100, so a $50 cost sold for $60 is a 20% markup, a $10.00 profit and a 16.67% margin. With Cost and profit in dollars, an $80 cost and $20 of profit sell for $100.00, a 25% markup and a 20.00% margin. A sale price below the cost gives a negative markup, a loss.

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