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Profit Margin Calculator

For small businesses, Etsy and Amazon sellers: enter cost and price to get margin and markup instantly.

Calculator
Gross profit
$40.00
Profit margin
40.00%
Markup
66.67%
Price for target margin
$100.00

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Formula

Margin = (Price − Cost) / Price;  Markup = (Price − Cost) / Cost

Frequently Asked Questions

What is the difference between margin and markup?

Margin is profit as a share of price; markup is profit as a share of cost. A 50% markup equals a 33.3% margin.

How do I price for a target margin?

Price = Cost / (1 − target margin). For a $60 cost and 40% margin, price = $100.

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