Calculators
Percentage vs Markup vs Margin
People often say “I need 30% margin” when they mean markup — and end up underpricing. Knowing the difference protects cash flow.
Open the free tool
Calculate profit, margin percentage and markup from cost and selling price.
Use Profit Margin CalculatorAlso related: Percentage Calculator, Invoice Generator
Percentage change
A percentage calculator answers questions like “what is 15% of 200?” or “what is the percent increase from 80 to 100?” It is general math, not specifically a profit formula.
Markup
Markup is how much you add on top of cost, relative to cost. If an item costs $50 and you sell it for $75, markup is $25, or 50% of cost.
Margin
Margin is profit relative to selling price. In the same example, $25 profit on a $75 price is a 33.3% margin — not 50%. Mixing these up is a common pricing mistake.
Quick workflow for sellers
Decide the margin you need, calculate the selling price from cost, then confirm with a profit margin calculator. Use the same definitions in quotes and invoices so your team stays consistent.
- Cost = what you pay to produce or buy the item
- Price = what the customer pays
- Profit = price − cost
- Margin % = profit ÷ price
- Markup % = profit ÷ cost
Frequently Asked Questions
Is a 40% markup the same as a 40% margin?
No. A 40% markup on cost produces a lower margin percentage on price. Always state which one you mean.
Which Free Quick Tools should I use?
Use Percentage Calculator for general percent math and Profit Margin Calculator for cost, price, margin and markup.
Related tools
Continue with these popular utilities.