Margin Calculator
Calculate profit margin and markup instantly. Enter your cost and selling price, or set a desired margin to find the right selling price. Margin and markup are not the same — this calculator shows both.
Margin = profit ÷ selling price. Markup = profit ÷ cost price. A 50% margin is not the same as a 50% markup. This calculator shows both so you always know the full picture.
Margin vs markup: the difference that matters
Margin is profit as a percentage of the selling price. If you buy something for €60 and sell it for €100, your profit is €40. Margin = €40 / €100 = 40%. This tells you what portion of your revenue is profit.
Markup is profit as a percentage of the cost price. Same example: markup = €40 / €60 = 66.7%. This tells you how much you added on top of your cost.
The confusion between these two costs businesses real money. If you aim for a "50% margin" but actually apply a 50% markup, you end up with a 33.3% margin instead. On a €100 cost item, that is the difference between selling at €200 (50% margin) and €150 (50% markup, 33.3% margin).
Rule of thumb: margin is always lower than markup for the same profit amount. As margin approaches 100%, markup approaches infinity.