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Margin vs markup calculator

Enter your unit cost and either a target margin or a markup. You'll get the selling price, profit per unit and the matching percentage — so you never underprice by mixing them up.

Selling price

100

Profit per unit

30

Price multiplier

1.43×

Gross margin

30%

Markup

42.86%

MarginEquivalent markupSelling price
15%17.65%82.35
25%33.33%93.33
35%53.85%107.69
50%100%140

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Frequently asked questions

What is the difference between margin and markup?

Markup is profit as a percentage of cost. Margin is profit as a percentage of the selling price. An item that costs 100 and sells for 150 has a 50% markup but only a 33.3% margin.

How do I calculate selling price from margin?

Selling price = cost ÷ (1 − margin). For a 30% margin on a 70 cost: 70 ÷ 0.70 = 100.

How do I calculate selling price from markup?

Selling price = cost × (1 + markup). For a 50% markup on a 100 cost: 100 × 1.5 = 150.

Why does confusing them cost money?

If you want a 30% margin but add a 30% markup, you only earn a 23.1% margin — about 7 cents less on every unit of revenue.

Can margin be 100% or more?

No. Margin can approach but never reach 100%, because that would mean the item cost nothing. Markup has no upper limit.

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