📦 Markdown Calculator
Calculate the new marked-down price of an item and see how the markdown affects your remaining profit margin.
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What a markdown calculator does
A markdown is a permanent reduction in a retail item’s selling price, often used to move slow-selling or seasonal stock. This calculator finds the new marked-down price and shows how that reduction affects your remaining profit margin if you also enter your cost.
How it’s calculated
The new price is the original retail price reduced by the markdown percentage. The amount reduced is simply the difference between the original and new price. If a cost is entered, the calculator also shows the profit and margin percentage remaining at the new marked-down price.
- Leave the cost field at 0 if you only want the new price and dollar reduction.
- A large markdown can turn a profitable item into a loss if the new price falls below cost; the calculator will show a negative profit in that case.
This tool is for general retail and business planning purposes only.
Last reviewed August 2026