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Markup Calculator

Set a price from your cost using either a markup or a target margin.

Who this is for: Online sellers and small business owners pricing products and checking profit.By · How it works

Your numbers

$
%

Selling price

$33.33

Profit
$13.33
Markup
66.7%

Results are estimates for planning. Check important figures with a qualified professional.

Quick answer

The Markup Calculator shows selling price from cost and markup, or from a target margin. How it works: Price from markup = cost × (1 + markup); Price from margin = cost ÷ (1 − margin). For example, with cost of $20, price by set to Target margin %, and percent of 40 %, the selling price is $33.33.

How to use the Markup Calculator

  1. Enter cost.
  2. Choose price by.
  3. Enter percent.
  4. Read selling price and the breakdown. Use Share to send the exact numbers, or Print to save a PDF.

How it's calculated

  • Price from markup = cost × (1 + markup)
  • Price from margin = cost ÷ (1 − margin)

Worked example

With cost of $20, price by of Target margin %, and percent of 40 %:

Selling price: $33.33. Profit: $13.33.

Markup questions

How do you calculate markup?

Markup = (price − cost) ÷ cost × 100. An item that costs $20 and sells for $30 has a 50% markup.

What markup gives a 50% margin?

A 100% markup. Doubling your cost (keystone pricing) gives a 50% profit margin.

Why can't profit margin reach 100%?

Margin is profit divided by price, and profit is always less than the price unless the item cost nothing. Markup has no upper limit.

What markup should I use for handmade or resale items?

Many retailers start at 100% markup on wholesale cost, and handmade sellers often price at two to four times material cost to cover labor. Check what is left after marketplace fees.