Profit Margin Calculator
Calculate profit margin, markup, profit, and selling price from cost and revenue.
Margin from cost and selling price
Price needed for target margin
Margin vs markup
Profit margin is profit divided by selling price. Markup is profit divided by cost. A product that costs $60 and sells for $100 has a 40% margin and a 66.67% markup.
Frequently asked questions
Which number should I use for pricing?
Most businesses manage pricing with margin because it shows how much of each sales dollar remains after direct cost.
Does this include overhead?
Only if you include overhead in the cost field. For net margin, include all relevant expenses, not just product cost.
Why is markup higher than margin?
They use different denominators. Markup divides by cost; margin divides by selling price.
Last updated: 2026-07-12