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Business

Markup Calculator

Set a selling price from unit cost and your desired percentage markup.

Use a consistent reporting periodCheck the calculation below

Your business figures

Runs on your device

METRIC SNAPSHOT

Your result

Let’s calculate.

Use the Calculate button to see your result.

Review the method below for assumptions and conventions.

How to use this tool

  1. Enter cost per unit, desired markup.
  2. Select Calculate to view the result.
  3. Check the method and assumptions below before using the result.

The method, explained

Selling price = cost × (1 + markup ÷ 100). Unit profit = selling price − cost. Margin = unit profit ÷ selling price × 100.

A WORKED EXAMPLE

A cost of 80 with a 25% markup gives a selling price of 100 and profit of 20. The corresponding profit margin is 20%, not 25%.

What to keep in mind

Markup is based on cost, not the selling price. Taxes, delivery and operating costs are excluded unless included in your cost figure. This model does not estimate demand at the calculated price.

Common questions

Is 25% markup the same as 25% margin?

No. Markup divides profit by cost; margin divides it by selling price. A 25% markup corresponds to a 20% margin.

How do I check an existing price?

Use Profit Margin Calculator with the existing selling price as revenue and the unit cost as cost. This tool instead starts with a target markup.

Methodology maintained by ClarityKit. How these tools are built and checked.