Markup Calculator: cost to selling price, profit and margin

Enter your cost and the markup you want, and see the selling price, the profit per unit and the margin it works out to reverse it from any price, or convert markup to margin and back.

What do you want to work out?
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Enter your cost and the markup you want to add. The selling price, profit and margin appear the moment you calculate.

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The math, made simple

How to calculate markup (and turn cost into a selling price)

Markup is just the profit you add on top of what something costs you, written as a percentage of that cost. Two short formulas take you either direction.

The markup formula

Markup % = (Price − Cost) ÷ Cost × 100

An item costs you $80 and sells for $100. The profit is $20; $20 ÷ $80 is 0.25, so that’s a 25% markup. Markup always measures your profit against the cost you paid.

Going from cost to price

Selling price = Cost × (1 + Markup ÷ 100)

Flip it around to set a price. A $80 cost with a 25% markup sells for $80 × 1.25 = $100. For a 50% markup multiply by 1.50; for 100% markup — doubling your money multiply by 2. The profit is simply the price minus the cost.

One catch: a 100% markup doesn’t mean all profit. It means the price is double the cost, so profit equals cost which is still only a 50% margin once you measure it against the selling price.

Step by step

Price any product in four steps

The same method works whether you’re pricing a retail SKU, a plate of food, a billable hour, or a resold part.

1

Enter your cost

Type what the item actually costs you the wholesale price, the ingredients, the parts and pick your currency.

2

Enter the markup

Type the markup you want to add, like 50 for a 50% markup. Or switch to Find markup and enter a price you already charge.

3

Read price, profit and margin

See the selling price big and bold, the profit per unit, and the margin that markup translates to all at once.

4

Sanity-check the margin

Use Markup ⇄ margin to convert between the two so you never quote a markup thinking it’s the margin, or the reverse.

The one that trips everyone up

Markup vs margin: same profit, two different percentages

They sound interchangeable and they’re not. Mixing them up is how businesses quietly underprice a “50% markup” is only a 33% margin, and that gap is your money.

Same profit, different base

Both describe the $20 profit on that $80-cost, $100-price item but they divide it by different things:

  • Markup = profit ÷ cost = $20 ÷ $80 = 25%
  • Margin = profit ÷ price = $20 ÷ $100 = 20%

Because the selling price is always bigger than the cost, the margin is always the smaller number. Convert between them with these:

Margin = Markup ÷ (100 + Markup) × 100
Markup = Margin ÷ (100 − Margin) × 100

So a 50% markup is 50 ÷ 150 = 33.3% margin, and a 30% margin needs a 30 ÷ 70 = 42.9% markup. The Markup ⇄ margin mode does the conversion instantly.

Why it matters: if your accountant wants a 40% margin and you set a 40% markup instead, you’ve left real profit on every sale a 40% markup is only a 28.6% margin.

Quick reference

Markup to price to margin: the conversion chart

What each markup does to a $100 cost, and the margin it works out to. The selling price and profit scale with your cost the margin column stays the same at any cost. Tap a markup to load it into the calculator.

MarkupPrice on $100 costProfitEquivalent margin
10%$110.00$10.009.09%
15%$115.00$15.0013.04%
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%
60%$160.00$60.0037.50%
75%$175.00$75.0042.86%
100%$200.00$100.0050.00%
150%$250.00$150.0060.00%
200%$300.00$200.0066.67%

Notice the pattern: a 100% markup is a 50% margin, and the two rates only match at 0%. The bigger the markup, the wider the gap which is exactly why they should never be used interchangeably when you set prices.

Working backwards

Find the markup from a price you already charge

Sometimes the price comes first a competitor’s tag, an old invoice, a number the market will bear. Reverse markup tells you the profit rate hiding inside it.

From cost and price to markup

Markup % = (Price − Cost) ÷ Cost × 100

A part costs you $40 and you sell it for $60. The $20 profit ÷ $40 cost is a 50% markup and a 33.3% margin. Knowing both lets you compare your pricing against a supplier’s “keystone” (100% markup) or an industry margin benchmark on the same footing.

Pricing back from a target

Want a specific selling price and need the cost ceiling to hit it? Or a target margin and the markup to reach it? Enter what you know in Find markup or Markup ⇄ margin, and read off the rest. It’s the fastest way to keep a whole catalogue on a consistent profit rule.

Retail shorthand: “keystone” pricing is a flat 100% markup doubling cost. It’s a fast rule of thumb, but at a 50% margin it may not cover overhead in every category, which is why checking the real margin matters.

Where people use it

One calculator, every pricing job

Run your numbers, then let each of these jump you back to the tool with the right mode ready.

Retail & wholesale

Turn a wholesale cost into a shelf price that holds your target profit, and keep every SKU on the same markup rule as your catalogue grows.

Price from cost →

Restaurants & food cost

Price a dish from its ingredient cost and see the margin behind it the number that has to cover labour, rent and everything the plate doesn’t.

Price a menu item →

Services & SaaS

Work out the markup on a billable rate or a per-seat cost, then convert it to the margin your finance model actually reports on.

Convert to margin →

Reselling & parts

Bought low to sell higher? Enter cost and your price to reveal the markup, and check it against keystone or a supplier’s list.

Find my markup →
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FAQ

Markup questions, answered

How do you calculate a markup?
Subtract the cost from the selling price to get the profit, divide by the cost, and multiply by 100. An item costing $80 and selling for $100 has $20 profit; $20 ÷ $80 = 0.25, a 25% markup. To set a price from a markup instead, multiply the cost by one plus the markup as a decimal.
What is a 30% markup?
A 30% markup adds 30% of the cost on top of the cost multiply the cost by 1.30. A $50 item sells for $65, a $15 profit. Measured as margin, that’s 23.08%, because the same $15 is a smaller share of the $65 price than of the $50 cost.
What is a 25% markup on $100?
$125. You add 25% of the $100 cost that’s $25 to get a $125 selling price with $25 of profit. As a margin, $25 on the $125 price is 20%.
What is a 20% markup?
The selling price is 20% above cost multiply the cost by 1.20. A $60 cost becomes $72 with $12 of profit. The equivalent margin is 16.67%, since $12 against the $72 price is a smaller fraction than against the $60 cost.
What’s the difference between markup and margin?
They describe the same profit against different bases. Markup is profit as a percentage of cost; margin is profit as a percentage of the selling price. Since the price is always higher than the cost, the margin is always the smaller number a 50% markup is only a 33.3% margin. Use Markup ⇄ margin to convert between them.
How do I convert markup to margin?
Divide the markup by one plus the markup: margin = markup ÷ (100 + markup) × 100. A 50% markup is 50 ÷ 150 = 33.3% margin. Going the other way, markup = margin ÷ (100 − margin) × 100, so a 30% margin is 30 ÷ 70 = a 42.9% markup.
Is a higher markup always better?
Not on its own price too high and you sell fewer units, so total profit can fall even as the rate rises. The calculator gives you the price, profit and margin behind any markup so you can weigh the rate against realistic volume, rather than chasing a percentage in isolation.
Does this markup calculator work in rupees, pounds or euros?
Yes. Pick your currency from the dropdown US, Canadian and Australian dollars, pounds, euros, Indian rupees, Pakistani rupees, or no symbol. Markup, margin and profit are calculated the same way in every currency; only the symbol on your result changes.

Price with confidence, not guesswork

Enter your cost and markup see the selling price, the profit, and the exact margin it becomes. One tap, and never confuse markup with margin again.

This markup calculator is a free planning tool. Results are rounded to two decimal places, and percentages assume standard cost-based markup and price-based margin definitions. It doesn’t account for taxes, shipping, transaction fees, discounts or overhead, which affect real profit treat the output as a pricing starting point and confirm figures against your own accounting.