Margin Calculator
Calculate profit margin, markup, and optimal pricing
Results
Selling Price
$100.00
Profit Margin
40%
Markup
66.7%
Profit per Unit
$40.00
Margin vs Markup Comparison
| Markup | Margin |
|---|---|
| 15% | 13.0% |
| 20% | 16.7% |
| 25% | 20.0% |
| 33.3% | 25.0% |
| 50% | 33.3% |
| 100% | 50.0% |
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Frequently Asked Questions
What's the difference between margin and markup?
Margin is profit as a percentage of the selling price (revenue). Markup is profit as a percentage of the cost. A 50% markup results in a 33.3% margin.
How do I calculate selling price from margin?
Selling Price = Cost / (1 - Margin%). For example, if cost is $60 and desired margin is 40%, selling price = $60 / (1 - 0.40) = $100.
What margin should I aim for?
Target margins vary by industry. Retail typically aims for 25-50%, services for 50-80%, and software for 70-90%. Research your industry benchmarks.
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