Profit Margin Calculator
Enter what a product costs you and the price you sell it for, and this calculator returns the profit per unit, the gross margin percentage and the markup percentage. Margin and markup are easy to confuse: margin is profit as a share of the selling price, while markup is profit as a share of the cost, and the same profit gives two very different percentages. Seeing both together stops the common pricing mistake of quoting a markup when you meant a margin. This is the everyday tool for setting retail prices, checking a wholesale quote, or sizing up how much room a product has. It works in any currency because it only deals with the numbers you enter, and every result is computed instantly and locally in your browser.
How to use Profit Margin Calculator
- Enter your cost.
- Enter your selling price.
- Read the profit, gross margin percent and markup percent.
Frequently asked questions
What is the difference between margin and markup here?
Gross margin is profit as a percent of the selling price, while markup is profit as a percent of cost. The tool shows both from the same inputs.
How is gross margin percent found?
It is profit divided by the selling price, times 100, where profit is price minus cost.
Can margin ever exceed 100 percent?
No. Because margin is a share of the selling price, it cannot exceed 100 percent, unlike markup which can.
What is Profit Margin Calculator?
Enter what a product costs you and the price you sell it for, and this calculator returns the profit per unit, the gross margin percentage and the markup percentage. Margin and markup are easy to confuse: margin is profit as a share of the selling price, while markup is profit as a share of the cost, and the same profit gives two very different percentages.
Is Profit Margin Calculator free to use?
Yes. Profit Margin Calculator is completely free, with no sign-up and no usage limits.
Does Profit Margin Calculator work in a web browser?
Yes. Profit Margin Calculator runs in any modern web browser. There is nothing to download or install.
Is my data private with Profit Margin Calculator?
Yes. Profit Margin Calculator runs entirely on your device in your browser, so nothing you enter is uploaded to a server.
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