Profit Margin Calculator
Category Tools for finance
Calculate profit, profit margin, and markup from a positive cost and selling price.
A cost of 100 and selling price of 150 produce profit 50.00, margin 33.33%, and markup 50.00%.
Profit Margin Calculator
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How this tool helps
Enter the cost and selling price for one item or one consistent group of items. Profit is selling price minus cost. Margin divides profit by selling price, while markup divides profit by cost, so the two percentages answer different questions. Results are rounded to two decimal places. Taxes, transaction fees, shipping, overhead, returns, and other costs are included only if you add them to the cost yourself.
Use the discount calculator to calculate a reduced price before measuring its margin.
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This space is intentionally reserved for a future Google AdSense unit without disturbing the main tools flow.
Helpful questions about this tool
How is profit calculated?
Profit is the selling price minus the cost entered.
What is the difference between margin and markup?
Margin is profit divided by selling price; markup is profit divided by cost.
Can the result be negative?
Yes. If the selling price is below cost, profit, margin, and markup are negative.
Which costs should I enter?
Use a positive cost that includes every expense you want reflected; the calculator does not add fees or overhead automatically.
How to use Profit Margin Calculator
1
Enter cost
Enter a positive cost in one consistent currency.
2
Enter selling price
Enter the positive price charged in the same currency.
3
Review profit
Check the absolute gain or loss shown.
4
Compare both percentages
Use margin for the share of revenue and markup for the increase over cost.
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