Margin Calculator
Find profit, profit margin, and markup from cost and revenue.
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Enter your cost and selling price to see the profit, the profit margin as a percentage of revenue, and the markup as a percentage of cost. Results update as you type.
Margin and markup are easy to confuse — this tool shows both, side by side, from the same two numbers.
📖 Read the guide: Margin vs Markup: The Difference That Costs You Money
Formula
Profit
revenue − cost = profit
Example: $100 − $80 = $20 profit.
Profit margin
(profit ÷ revenue) × 100 = margin %
Profit as a share of the selling price. Example: 20 ÷ 100 = 20%.
Markup
(profit ÷ cost) × 100 = markup %
Profit as a share of the cost. Example: 20 ÷ 80 = 25%.
Examples
| Example | Input | Result |
|---|---|---|
| Standard | cost $80, sell $100 | 20% margin · 25% markup |
| Higher margin | cost $50, sell $100 | 50% margin · 100% markup |
| Thin margin | cost $95, sell $100 | 5% margin · 5.26% markup |
How to use the margin calculator
- 1Enter the cost (what you paid).
- 2Enter the revenue (your selling price).
- 3Read the profit, margin %, and markup %; copy any value.
Margin vs. markup — the key difference
Both measure profit, but against different bases. Margin is profit as a percentage of the selling price (revenue); markup is profit as a percentage of the cost. For an item that costs $80 and sells for $100, the $20 profit is a 20% margin (20 ÷ 100) but a 25% markup (20 ÷ 80). Margin is always the smaller of the two.
Confusing them leads to underpricing. If you want a 40% margin, a 40% markup is not enough — a 40% margin requires roughly a 67% markup.
Why margin matters
Profit margin shows how much of each sale you keep after the cost of the product. It is a core measure of profitability and pricing health, and it lets you compare products of very different prices on equal footing.
This tool provides estimates only and uses simple gross margin/markup formulas. Consult an accountant for official figures and decisions.
Frequently asked questions
What is the difference between margin and markup?
Margin is profit as a percentage of the selling price; markup is profit as a percentage of the cost. The same profit gives a smaller margin than markup.
How do I calculate profit margin?
Subtract cost from revenue to get profit, then divide profit by revenue and multiply by 100.
What markup gives a 50% margin?
A 100% markup. A 50% margin means cost is half the price, so the markup (profit over cost) is 100%.
Is my pricing data private?
Yes. Everything is calculated in your browser and never uploaded.
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<iframe src="https://numvella.com/embed/margin-calculator" width="100%" height="460" style="border:1px solid #e2e8f0;border-radius:12px" title="Margin Calculator — Numvella" loading="lazy"></iframe>Related calculators
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