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Markup & Margin Calculator

Calculate selling price from cost and markup percentage — or find your profit margin from any selling price. Understand the difference between markup and margin.

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How This Works

Markup % = (selling price - cost) / cost × 100. Margin % = (selling price - cost) / selling price × 100. The same profit expressed as a percentage of cost vs selling price gives very different numbers — a common source of pricing errors. Retail and wholesale businesses typically target gross margins; service businesses typically think in markup.

Target margins vary hugely by sector. Retail: 20–50% gross margin. Software/SaaS: 60–80% gross margin. Consulting/services: 40–70% gross margin. Manufacturing: 25–45% gross margin. Food and hospitality: 60–70% gross margin on food cost, but net margins after labour and overhead are typically 5–15%. Net profit margin (after all costs including overheads) of 10–20% is considered healthy for most small businesses.
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