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Profit Margin Calculator

Profit margin and markup from cost and selling price — or the price needed for a target margin.

Enter values

Results update as you type.

Result

Profit margin

38.46%

Selling price
$65.00
Profit per unit
$25.00
Markup
62.5%

About the Profit Margin Calculator

Profit margin and markup from cost and selling price — or the price needed for a target margin.

Also known as: margin calculator, product margin, margin percentage, product-margin, margin-pricing.

How to use this calculator

  1. Enter cost, i know the.
  2. The result updates instantly as you type — press Calculate (or Enter) at any time.
  3. Review the breakdown shown under the main result.
  4. Use Copy result or Share to save the answer or send a link with your inputs.

Formula

Margin = (price − cost) ÷ price · Price = cost ÷ (1 − margin)

Worked example

Using the values pre-filled in the calculator above:

  • Cost = 40
  • I know the: Selling price
  • Selling price = 65

the calculator returns:

  • Profit margin: 38.46%
  • Selling price: 65
  • Profit per unit: 25
  • Markup: 62.5%

Frequently asked questions

What is the difference between margin and markup?

Margin is profit as a share of the selling price; markup is profit as a share of cost. A $40 item sold for $65 has a 38.5% margin but a 62.5% markup.