Markup Calculator: Markup Percentage From Cost and Price

Enter what an item costs you and what you sell it for. Markup, margin, and profit update live.

Cost ($)Selling price ($)

Markup

50%

Profit: $20.00
Gross margin: 33.33%

Profit = $60.00 − $40.00 = $20.00

Markup = $20.00 ÷ $40.00 × 100 = 50%

Markup formula

Markup % = (Selling price − Cost) ÷ Cost × 100

A product that costs $40 and sells for $60 has $20 of profit. $20 ÷ $40 = 0.5, a 50% markup.

Markup vs margin

Markup divides profit by cost. Margin divides profit by price. The same $40 → $60 sale is a 50% markup but only a 33.33% margin. Mixing them up is the most common pricing error.

Price from a target markup

Selling price = Cost × (1 + markup). To mark up a $40 item by 60%, charge $40 × 1.6 = $64.

Markup to margin conversion

Markup	Gross margin
10%	9.09%
20%	16.67%
25%	20.00%
30%	23.08%
40%	28.57%
50%	33.33%
75%	42.86%
100%	50.00%
150%	60.00%
200%	66.67%

Questions people ask

What is a 100% markup?

The selling price is double the cost. A $25 cost sells for $50.

Can markup be more than 100%?

Yes. Markup has no upper limit, while margin can never reach 100%.

How do I convert markup to margin?

Margin = Markup ÷ (1 + Markup). A 50% markup is 0.5 ÷ 1.5 = 33.33% margin.