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Margin and Markup Calculator
Enter your product cost and selling price to see your gross profit, profit margin, and markup percentage side by side.
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Margin vs. markup
Profit margin and markup both measure profitability, but they use different bases. Margin is profit as a percentage of the selling price, while markup is profit as a percentage of the cost. Because they divide by different numbers, a 50% markup is not the same as a 50% margin.
The formulas
- Gross Profit = Selling Price − Cost
- Margin = (Profit ÷ Selling Price) × 100
- Markup = (Profit ÷ Cost) × 100
Enter your per-unit cost and selling price above to see both figures instantly, along with the gross profit per unit. This tool is for general business planning and education, not formal accounting or tax advice.
Last reviewed August 2026