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Profit Margin & Markup Calculator

VAT, sales tax, margin and markup

Margin40%Markup: 66.67%
Profit
40
Margin
40%
Markup
66.67%

(100 − 60) ÷ 100 × 100 = 40 · (100 − 60) ÷ 60 × 100 = 66.6667

Price for a target: Margin

60 ÷ (1 − 40 ÷ 100) = 100

100

Price for a target: Markup

60 × (1 + 50 ÷ 100) = 90

90

Formula: gross = net × (1 + rate ÷ 100) · Updated Oct 22, 2026

Enter what an item costs you and what you sell it for: you get the profit, the margin (profit ÷ price) and the markup (profit ÷ cost). Below, find the price for a target margin or markup.

How to use the Margin Calculator

  1. Type the cost and the selling price.
  2. Read the profit, margin and markup.
  3. Use the lower boxes to find the price for a target margin or markup.

Margin vs markup

Cost $60.00, price $100.00: the profit is $40.00, the margin is 40% of the price and the markup is 66.67% of the cost. Margin can never reach 100%; markup can be any size.

Price for a target margin

Price = cost ÷ (1 − margin ÷ 100). For a 40% margin on a $60.00 cost: $60.00 ÷ 0.6 = $100.00. Adding 40% to the cost ($84.00) only gives a 28.57% margin.

Margin and markup table

MarkupMargin
10%9.09%
20%16.67%
25%20%
30%23.08%
40%28.57%
50%33.33%
60%37.5%
75%42.86%
100%50%

Frequently asked questions

How do I calculate profit margin?

Margin = (price − cost) ÷ price × 100.

Is a 50% markup a 50% margin?

No. A 50% markup gives a 33.33% margin.

More calculators

All percentage calculators →

Results are rounded for display; the calculation itself uses full precision. Tax and price results are estimates — check the official rate for your case.