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.
💵 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.
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:
🧮 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%.
💡 Frequently Asked Questions
Markup compares profit with cost, while margin compares profit with selling price. A 50% markup does not produce a 50% margin.
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.
Divide your cost by 0.60. For example, a $60 cost requires a $100 selling price to achieve a 40% gross 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.
No. The tool calculates gross profit using the unit cost entered. Sales tax, overhead, payment processing and other expenses must be considered separately.