Margin Calculator
Enter your cost and selling price. Get gross margin %, markup %, and profit per sale instantly. The clearest margin calculator on the web — with a side-by-side margin vs markup table so you never confuse them again.
Quick answerGross margin = (selling price − cost) ÷ selling price. Example: a $30 item that costs you $20 has a $10 profit and a 33.3% gross margin (which is a 50% markup on cost).
Your numbers
Edit any field — results update as you type.
$
$
Gross margin
33.3%
$10.00 profit on every sale.
Profit per sale
$10.00
Markup
50.0%
Quick check: margin and markup look similar but mean different things. A 50% markup is only a 33% margin. If your margin is unexpectedly low, check whether you've been thinking in markup instead.
Share or embed this calculator
Free for any site — includes a small credit link back to us.
How to calculate margin
Subtract cost from selling price to get profit. Divide profit by selling price. Multiply by 100 for a percentage. ($30 − $20) ÷ $30 × 100 = 33.3% gross margin.
Margin vs markup, side by side
| Markup | Margin | $20 cost → price |
|---|---|---|
| 20% | 16.7% | $24.00 |
| 25% | 20% | $25.00 |
| 50% | 33.3% | $30.00 |
| 75% | 42.9% | $35.00 |
| 100% | 50% | $40.00 |
| 150% | 60% | $50.00 |
| 200% | 66.7% | $60.00 |
Frequently asked
Related calculators
Methodology
Formula
margin = (price − cost) ÷ price
Assumptions
- Cost is fully loaded (materials, labor, overhead, packaging).
- Price excludes sales tax and platform fees.
- Margin is gross — operating expenses are not subtracted.
Last reviewed: 2026-08-24
Last updated: 2026-08-24