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Margin vs Markup Calculator: Convert Between Profit Margin and Markup

By Tooladex Team •
Margin vs MarkupProfit MarginMarkupPricingFinance Tools
Margin vs Markup Calculator: Convert Between Profit Margin and Markup

Confused about the difference between margin and markup? Or need to know what selling price gives you a target margin or markup? The Margin vs Markup Calculator converts between the two and works in three ways: enter cost and selling price to see margin and markup, or enter cost and margin % (or cost and markup %) to get the selling price and the other percentage.

Pricing scenario: Your cost is $50 and you want a 40% margin. What selling price do you need? Switch to “Cost & Margin %”, enter 50 and 40 — the tool shows Selling Price $83.33 and Markup 66.67%. No mental math; all calculations run in your browser.

What is Margin vs Markup?

Margin is profit as a percentage of the selling price (what the customer pays). Markup is profit as a percentage of cost (what you pay to produce or buy the item). The same dollar profit produces different percentages because the denominators differ.

Example: Cost $50, Selling price $75. Profit = $25. Margin = 25 ÷ 75 = 33.33% (profit is 33.33% of the selling price). Markup = 25 ÷ 50 = 50% (profit is 50% of cost). Confusing margin and markup can lead to underpricing or wrong targets — the Tooladex Margin vs Markup Calculator helps you convert between them and work in either mode.

Why Use a Margin vs Markup Calculator?

Pricing — Set a target margin or markup and find the selling price, or check margin and markup for a given cost and price.

Retail & wholesale — Many businesses think in markup (e.g. “we add 50%”); others think in margin (e.g. “we need 30% margin”). Convert between them without errors.

Quotes & proposals — Ensure your quoted price delivers the margin or markup you intend.

Learning — See how margin and markup relate for the same cost and selling price.

How the Margin vs Markup Calculator Works

  1. Choose a mode — Cost & Selling Price (you have both), Cost & Margin % (you have cost and target margin), or Cost & Markup % (you have cost and target markup).
  2. Enter values — Cost is always required; the second field is Selling Price, Margin %, or Markup % depending on the mode.
  3. See results — Profit, Margin %, and Markup % are always shown. In Cost & Margin % or Cost & Markup % mode, the calculated Selling Price is shown too.

Formulas: Profit = Selling Price − Cost. Margin % = (Profit ÷ Selling Price) × 100. Markup % = (Profit ÷ Cost) × 100. From cost and margin: Selling Price = Cost ÷ (1 − Margin/100). From cost and markup: Selling Price = Cost × (1 + Markup/100). All calculations run in your browser; no data is sent to a server.

Formulas at a Glance

From cost and selling price
Profit = Selling Price − Cost
Margin % = (Profit ÷ Selling Price) × 100
Markup % = (Profit ÷ Cost) × 100

From cost and margin %
Selling Price = Cost ÷ (1 − Margin/100)

From cost and markup %
Selling Price = Cost × (1 + Markup/100)

Examples

Cost $50, Selling price $75 → Profit $25, Margin 33.33%, Markup 50%.

Cost $100, 25% margin → Selling price $133.33, Markup 33.33%.

Cost $100, 50% markup → Selling price $150, Margin 33.33%.

Frequently Asked Questions

What is the difference between margin and markup?
Margin is profit as a percentage of selling price; markup is profit as a percentage of cost. For the same cost and selling price, margin is always a smaller percentage than markup (e.g. 33.33% margin = 50% markup when cost $50, SP $75).

Which should I use for pricing?
Use margin when you want profit as a share of revenue (e.g. “we need 30% margin on every sale”). Use markup when you’re adding a percentage on top of cost (e.g. “we add 50% markup to cost”). The calculator converts between them so you can work in either.

Is my data sent anywhere?
No. All calculations happen in your browser. No cost, price, or percentage data is sent to any server.

Privacy

All processing runs in your browser. We don’t send or store your cost, selling price, margin, or markup.

Try the Margin vs Markup Calculator

Margin vs Markup Calculator

Convert between profit margin and markup. Enter cost and selling price, or cost and margin %, or cost and markup % to get the other values. Perfect for pricing and retail.

Try Tool Now

The Margin vs Markup Calculator is free, works in your browser, and requires no sign-up. Enter cost and selling price to see margin and markup, or enter cost and margin % (or markup %) to get the selling price and the other percentage — perfect for pricing and retail.

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