Mello
¤ Finance

Profit Margin & Markup Calculator

Cost, price, margin, markup — fill in any two, get the rest.

Pricing guidance only. Profitability depends on costs and fees this calculator does not model. Not financial advice.

Runs in your browserNo account requiredNo uploadFree
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About Profit Margin & Markup Calculator

Profit Margin & Markup Calculator turns the relationship between cost, revenue, and profit into all of the figures pricing decisions actually use: profit, profit margin, and markup. Fill in any two of cost, price, and margin (or markup) and the calculator returns the third along with the absolute profit. It is the tool you want in front of you when you are pricing a product, reviewing unit economics, or sanity-checking what 'a 50% markup' actually means for your bottom line.

Worked example: a product costs $40 to make and sells for $100. Profit is $60. Margin is 60% (profit ÷ revenue). Markup is 150% (profit ÷ cost). Same product, two very different headline numbers — which is exactly why margin and markup get confused. The calculator shows both side by side so the relationship is unambiguous.

The big practical pitfall is treating margin and markup as interchangeable. They are not: a 50% margin is a 100% markup, and a 100% markup is a 50% margin. Quoting the wrong one to a partner — 'we make 50%' — can describe two very different businesses. The calculator also lets you back-solve via the 'Solve for' picker: enter the cost and a target margin to get the required price; enter price and margin to get the allowable cost.

Calculations run entirely in your browser. Costs, prices, and margins are sensitive numbers; they are never logged or uploaded — useful when you are working through pricing for an unannounced product.

Frequently asked questions

Margin is profit ÷ revenue (a fraction of what the customer pays). Markup is profit ÷ cost (a fraction added on top of cost). A 50% margin equals a 100% markup; they are never the same number.

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