Markup and Margin Calculator
Enter the cost and a markup, margin or selling price — the calculator shows the price, profit, markup and margin.
Markup vs margin: what is the difference
Markup shows how many percent the selling price is above the cost. Margin shows what share of the selling price is profit. They use different bases: markup is calculated from cost, margin from the selling price. That is why, for the same deal, markup is always larger than margin.
Markup, % = (Price − Cost) ÷ Cost × 100
Margin, % = (Price − Cost) ÷ Price × 100
To get a price from a markup, multiply the cost by (1 + markup ÷ 100). To get a price for a target margin, divide the cost by (1 − margin ÷ 100). The two figures are linked:
Margin = Markup ÷ (100 + Markup) × 100
Markup = Margin ÷ (100 − Margin) × 100
Margin can never reach 100%, while markup has no upper limit: a 100% markup means selling at twice the cost, which is a 50% margin.
The calculation is for reference only: it ignores taxes, fees and other costs. If you are a VAT payer, use the price without tax — you can extract it with the VAT calculator.
Markup and margin examples
Example 1 — 30% markup. Cost 100 UAH, markup 30%. Selling price = 100 × 1.3 = 130 UAH, profit 30 UAH, margin 23.08%.
Example 2 — target margin of 30%. Cost 100 UAH. Price = 100 ÷ (1 − 0.3) = 142.86 UAH, which equals a 42.86% markup. A 30% markup would give only a 23.08% margin.
Example 3 — price already known. An item bought for 80 UAH sells for 100 UAH. Profit 20 UAH, markup 25%, margin 20%.
FAQ about markup and margin
What is the difference between markup and margin?
Markup is calculated from cost, margin from the selling price. Profit is the same, but the percentages differ: a 25% markup gives a 20% margin.
Which should I use, markup or margin?
Markup is convenient for setting a price: multiply the cost and you have it. Margin is better for judging profitability and comparing products because it shows the share of profit in revenue. Just do not mix them up in contracts and spreadsheets.
Can margin exceed 100%?
No. Profit cannot exceed the selling price, so margin is always below 100%. Markup has no upper limit.
Does the calculator include VAT and fees?
No. It only calculates the difference between cost and price. Include taxes, marketplace fees, delivery and other expenses in the cost or calculate them separately.
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