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Markup Calculator
Markup is what you add on top of cost to set a selling price, expressed as a percentage of the cost. Enter cost and markup to get the price, or work backwards from a price. The equivalent profit margin is always shown alongside, because the two are easy to confuse.
- Markup
- 50%
- Profit margin
- 33.33%
- Profit
- $25.00
- Cost
- $50.00
Saved setups
Save a set of inputs you reuse — your usual rate, your loan, your room sizes — and load it back in one tap.
Your recent calculations
Results you calculate here are kept on this device so you can come back to them.
Formula
How to use it
- Choose which two numbers you know: cost and markup, cost and price, or price and markup.
- Enter them.
- Read the selling price and profit.
- Check the margin beside it — that is the share of each sale you actually keep.
Worked examples
A 50% markup on an item that costs $50
- Selling price
- $75.00
- Profit
- $25.00
- Profit margin
- 33.33%
The markup on an item bought for $40 and sold for $100
- Markup
- 150%
- Profit margin
- 60%
- Profit
- $60.00
The cost behind a $120 price that carries a 20% markup
- Cost
- $100.00
- Profit
- $20.00
- Profit margin
- 16.67%
Markup is not margin
Markup measures profit against what you paid; margin measures the same profit against what the customer pays. Because the selling price is the bigger number, the margin is always smaller than the markup.
A 50% markup on a $50 item gives a $75 price and $25 profit. That $25 is 50% of the cost but only 33.33% of the price. If someone says they “make 50%”, ask which one they mean.
A 100% markup — doubling the cost, known as keystone pricing — is a 50% margin. No markup, however large, produces a 100% margin.
Typical markups
Grocers often work on 15–35% over cost, clothing and gift retailers commonly double the wholesale price (100%), jewelry and furniture frequently go higher, and restaurants typically price dishes at about three times ingredient cost (200% markup) because food is only one of their costs.
A markup has to cover overheads as well as leave a profit, so the right figure depends on your rent, wages and sales volume, not just on what competitors charge.
Questions people ask
How do I calculate a 30% markup?
Multiply the cost by 1.30. A $40 item becomes $52, a profit of $12.
What margin does a 50% markup give?
33.33%. On a $50 cost the price is $75, and the $25 profit is one third of that price.
What markup do I need for a 50% margin?
100%. To keep half of the selling price as profit you have to double the cost.
How do I find the markup from cost and price?
Subtract cost from price and divide by cost. Bought for $40 and sold for $100: $60 ÷ $40 = 1.5, a 150% markup.