Markup Calculator
Turn a product cost and a target markup percentage into a selling price, profit and margin.
%
70
PriceCost
71.4%
Profit
28.6%
- 1
Price multiplier
1 + 40 ÷ 100 = 1.4 - 2
Selling price
50 × 1.4 = 70
Formula
How this is calculated
The calculator takes two numbers in the same currency: the unit cost — what it costs you to buy or make one item — and the markup, entered as a percentage of that cost. The markup is the slice of profit you add on top of cost, so a 40% markup means adding 40% of the cost to the cost itself.
It first turns the markup into a multiplier, 1 + markup/100, and multiplies the cost by it to get the selling price. So a $50 cost at 40% markup becomes 50 × 1.40 = $70. Profit per unit is then simply the selling price minus the cost. Finally it converts that profit into a margin by dividing it by the selling price (not the cost) and multiplying by 100 — which is why the margin percentage is always smaller than the markup for the same item.
Cost must be zero or positive; a negative markup models selling below cost and yields a price under the original cost. Results are rounded to two decimals for display. The figures are per single unit and exclude taxes, shipping, payment fees, discounts and overhead — those must be folded into your cost or markup separately.
Examples
| Input | Result |
|---|---|
| Cost $50 with 40% markup | Price = $70, profit = $20, margin = 28.57% |
About this calculator
Markup is the amount added to the cost of a product to set its selling price, expressed as a percentage of the cost. A 40% markup means you add 40% of the cost on top of the cost. This is the basis of cost-plus pricing used widely in retail and wholesale.
Markup and margin are often confused. Markup is measured against cost, while margin is measured against the selling price, so the margin percentage is always lower than the markup for the same price. This calculator reports both so you can price products consistently and understand your true profitability.
Frequently asked questions
Markup is profit as a percentage of cost; margin is profit as a percentage of selling price. For a given price, the margin percentage is always smaller than the markup percentage.
Base it on your costs, target margin, competitor pricing and overheads. Higher-overhead or lower-volume businesses generally need larger markups to stay profitable.
Yes. Divide the selling price by (1 + markup/100) to recover the original cost.
Also known as
TG we-Calculate Editorial Team. (2026). Markup Calculator [Online calculator]. TG we-Calculate. https://we-calculate.com/calculator/markup-calculator
TG we-Calculate Editorial Team. "Markup Calculator." TG we-Calculate. 2026. https://we-calculate.com/calculator/markup-calculator.
TG we-Calculate Editorial Team, "Markup Calculator," TG we-Calculate, 2026. [Online]. Available: https://we-calculate.com/calculator/markup-calculator
@misc{wecalculate_markup_calculator, title = {Markup Calculator}, author = {{TG we-Calculate Editorial Team}}, howpublished = {\url{https://we-calculate.com/calculator/markup-calculator}}, year = {2026}, note = {TG we-Calculate} }
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