Markup & Margin Calculator

Convert between markup and margin. Understand the difference and price your products right.

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Markup vs. Margin: What's the Difference?

Markup is how much you add to your cost: a $50 item with 100% markup sells for $100.

Margin is what percentage of the selling price is profit: that same $100 item has a 50% margin ($50 profit / $100 price).

They describe the same relationship from different angles. A 100% markup always equals a 50% margin. A 50% markup equals a 33.3% margin.

Formulas:

  • Markup % = (Price - Cost) / Cost × 100
  • Margin % = (Price - Cost) / Price × 100
  • Markup to Margin: Margin = Markup / (100 + Markup) × 100

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Tools and services that pair well with this calculator.

Shopify E-commerce

All-in-one commerce platform with built-in pricing tools.
QuickBooks Accounting

Track your actual margins in real time, not just projections.
Square Payments

Accept payments and track sales with automatic margin reporting.

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