Calculator
Markup Calculator FAQ
Price products with markup vs margin, transparent formulas, batch rows, CSV export, and an Excel template.
FAQ
What is markup?+
Markup is the amount added to the cost of a product to set the selling price, expressed as a percentage of cost. For example, if an item costs $80 and you sell it for $100, the markup is $20 divided by $80 = 25%. Markup tells you how much you increased the cost to arrive at the selling price.
What is margin?+
Margin (or gross profit margin) is the profit expressed as a percentage of the selling price, not the cost. Using the same example: $20 profit divided by $100 selling price = 20% margin. Margin tells you what portion of each sales dollar is profit. Markup is always a higher percentage than the equivalent margin.
What is the difference between markup and margin?+
Markup is profit divided by cost; margin is profit divided by selling price. A 25% markup equals a 20% margin, and a 50% markup equals a 33.3% margin. Confusing the two is one of the most common pricing mistakes in business—using markup when you mean margin can lead to significantly underpricing your products.
How do I calculate selling price from cost and markup?+
The formula is Selling Price = Cost × (1 + Markup% / 100). In Cost + Markup mode, enter the cost and the markup percentage, and the calculator computes the selling price, profit, and equivalent margin percentage automatically.
Can I export batch rows?+
Yes. In batch mode, paste multiple rows of products with their costs, markup percentages, or selling prices. The calculator processes all rows at once, and you can export the full batch as a CSV file or download an Excel template pre-configured with the same formulas for offline use.
What markup percentage should I use for my products?+
Typical retail markup ranges from 25–50% (20–33% margin), restaurants often use 100–300% markup (50–75% margin), and wholesale is typically 10–20% (9–17% margin). The right percentage depends on your industry, operating costs, target profit margins, and competitive pricing. The benchmark ranges section provides more sector-specific guidance.
How do I convert markup to margin and vice versa?+
Margin = markup / (1 + markup). For example, 25% markup = 0.25 / 1.25 = 20% margin. Conversely, markup = margin / (1 - margin). For example, 20% margin = 0.20 / 0.80 = 25% markup. The calculator shows both values side by side so you never have to do the conversion manually.