Is the margin calculator free?

Yes. It is free, needs no account, and calculates in your browser; nothing you enter is uploaded or stored.

What is the difference between margin and markup?

Margin divides profit by the selling price; markup divides the same profit by the cost. A $60 cost sold at $100 is simultaneously a 40% margin and a 66.67% markup — the calculator always shows both.

How do I convert a markup into a margin?

Margin = markup ÷ (100 + markup) × 100. A 50% markup is a 33.33% margin, a 100% markup is a 50% margin. Enter the cost and markup and the calculator does the conversion.

Why can't a margin be 100%?

Margin is profit as a share of the price, and profit can only reach 100% of the price if the cost is zero. Target margins of 100% or more have no finite price, and the calculator says so rather than returning a misleading number.

Is this gross or net margin?

Gross, at the unit level — selling price minus direct cost. Operating expenses, fees, and taxes are not modeled, so net margin will always be lower.

Margin Calculators

Margin Calculator

Enter your cost and selling price and the calculator returns the profit, the gross margin (profit as a share of price), and the markup (profit as a share of cost) — a $60 cost sold at $100 is a 40% margin but a 66.67% markup.

Margin & markup

Solve forCost ($)Selling price ($)

Gross margin

40%

$40.00 profit · 40% margin · 66.67% markup

Breakdown

Cost$60.00

Selling price$100.00

Profit$40.00

Margin is profit ÷ price; markup is profit ÷ cost — the same sale, two different percentages. Plain arithmetic on the numbers you enter; not pricing, tax, or accounting advice.

About this calculator

A free margin calculator built around the distinction that trips up most pricing conversations: margin is profit divided by the selling price, markup is profit divided by the cost, and the same sale produces two different percentages. It computes both from any cost-and-price pair, and two more views solve the price — either from a markup you apply to cost or from a gross margin you want to achieve. All three views are plain arithmetic computed in your browser on the numbers you enter — a pricing worksheet, not tax, pricing, or accounting advice.

Margin and markup are not the same number

Buy at $60 and sell at $100 and the $40 profit reads two ways: 40% margin (40 ÷ 100, the share of revenue you keep) and 66.67% markup (40 ÷ 60, how far you raised the cost). The gap widens as prices rise — a 50% margin is a 100% markup, and a 75% margin is a 300% markup. Mixing the two up in a negotiation or a spreadsheet silently misprices products, which is the classic small-business pricing error this calculator exists to prevent.

The two have different jobs. Margin speaks the language of financial statements — gross margin is what income statements and investor comparisons report. Markup is the operational habit — distributors and retailers often price by applying a standard multiplier to landed cost. The calculator always reports both so either convention translates instantly into the other.

Reading gross margin in context

This is unit-level gross margin: it accounts for the direct cost of what you sell and nothing else. Rent, payroll, software, shipping, card fees, and returns all come out of that margin before anything is profit, which is why a healthy-looking 40% gross margin can still describe a break-even business. Typical gross margins also vary enormously by industry — grocery runs thin, software runs fat — so compare against your own sector, not a universal number.

For pricing decisions, the selling-price view is usually the practical one: decide the margin your cost structure needs, and let the calculator return the price that achieves it rather than nudging a price up and down by feel.

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Questions

Is the margin calculator free?: Yes. It is free, needs no account, and calculates in your browser; nothing you enter is uploaded or stored.
What is the difference between margin and markup?: Margin divides profit by the selling price; markup divides the same profit by the cost. A $60 cost sold at $100 is simultaneously a 40% margin and a 66.67% markup — the calculator always shows both.
How do I convert a markup into a margin?: Margin = markup ÷ (100 + markup) × 100. A 50% markup is a 33.33% margin, a 100% markup is a 50% margin. Enter the cost and markup and the calculator does the conversion.
Why can't a margin be 100%?: Margin is profit as a share of the price, and profit can only reach 100% of the price if the cost is zero. Target margins of 100% or more have no finite price, and the calculator says so rather than returning a misleading number.
Is this gross or net margin?: Gross, at the unit level — selling price minus direct cost. Operating expenses, fees, and taxes are not modeled, so net margin will always be lower.