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💼 Business / Pricing
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Markup Calculator

Price smarter. Protect your profit.

Find the right selling price for your product or service. Calculate prices using a markup on cost or a target profit margin, and see how each method affects your gross profit.

⚡ Instant results 🏷️ Markup pricing 📊 Target margin pricing 💰 Gross profit estimates

💵 Calculate your selling price

💡 A 50% markup means adding 50% of your cost to the selling price. It does not mean a 50% profit margin.

⚙️ What is included?

This calculator uses the unit cost you enter to calculate a selling price before sales tax. Include direct product, materials or service-delivery costs when estimating gross profit.

The estimate excludes overhead, income taxes, payment processing and other expenses not included in your cost. Changing currency changes formatting only.

🧠 How to calculate markup and selling price

Markup is the percentage added to your cost to determine a selling price. It’s commonly used in retail, wholesale, contracting and service businesses.

Selling price = Cost × (1 + Markup ÷ 100)

Profit margin measures gross profit as a percentage of the selling price. If you know your desired margin instead, calculate the price using this formula:

Selling price = Cost ÷ (1 − Desired margin ÷ 100)

🧮 Example: Pricing a $60 product

Suppose a product costs $60 and you apply a 50% markup. You add $30 to the cost, producing a selling price of $90.

Your gross profit is $30 per unit, and your gross profit margin is approximately 33.33%.

🏷️ $90 selling price · 33.33% margin

💡 Frequently Asked Questions

🏷️ What is the difference between markup and margin?

Markup compares profit with cost, while margin compares profit with selling price. A 50% markup does not produce a 50% margin.

💰 How do I calculate a selling price from cost?

Multiply your cost by one plus your markup percentage expressed as a decimal. For example, a $40 cost with a 25% markup produces a $50 selling price.

📊 How do I price for a 40% profit margin?

Divide your cost by 0.60. For example, a $60 cost requires a $100 selling price to achieve a 40% gross margin.

⚖️ Can I have a 100% profit margin?

A 100% gross margin would require zero cost relative to the selling price. With positive costs, a 100% or greater target margin cannot be achieved using a finite positive selling price.

🧾 Does this include taxes or overhead?

No. The tool calculates gross profit using the unit cost entered. Sales tax, overhead, payment processing and other expenses must be considered separately.