Markup & Margin Calculator
Profit, markup and margin from a product's cost and selling price — and why markup and margin differ.
- Profit per unit$40.00
- Markup (profit ÷ cost)66.7%
- Margin (profit ÷ price)40.0%
Inputs used
- Cost$60.00
- Selling price$100.00
About this calculator
Markup and margin describe the same profit from two different viewpoints. Markup is profit as a share of cost: buy at 60, sell at 100, and the 40 profit is a 66.7% markup. Margin is profit as a share of the selling price: the same 40 is a 40% margin.
Mixing them up is one of the most expensive spreadsheet mistakes in retail. "50% margin" requires doubling the cost (100% markup) — pricing at cost × 1.5 gives only a 33% margin. When someone quotes a percentage, always ask: of cost, or of price?
Margin can never reach 100% (profit can't exceed the price), while markup is unbounded. This calculator shows both side by side so the two are never confused.
Results are informational only — not financial, medical or legal advice.