Free Tool

Markup Calculator

Work out the markup on a sale, the selling price for a markup, or the cost behind a price. Markup is measured against cost, not the selling price, and the calculator shows the margin alongside so you can see the difference.

Free
· No signup
· Three calculations
· Runs in your browser

Private by design. Calculations run in your browser; the numbers you enter are not sent to Q3 Labs.

Result

Enter the cost and the selling price to see the result.

What is a markup calculator?

Markup is how much you add to what something cost you to arrive at the price you sell it for, expressed as a percentage of the cost. A markup calculator does the arithmetic in any direction: from a cost and price to the markup, from a cost and markup to the price, or from a price and markup back to the cost.

It is a simple pricing calculation on the numbers you enter. The cost you use (just the product, or the product plus shipping and handling) is up to you, and the result is only as complete as that cost.

How to calculate markup

Find the profit: selling price − cost. For ₹600.00 and ₹1,000.00, that's ₹400.00.
Divide the profit by the cost: 400 ÷ 600 = 0.6667.
Multiply by 100: a markup of 66.67%.

Markup formula

Profit = Selling price − Cost

Markup % = Profit ÷ Cost × 100

Selling price = Cost × (1 + Markup ÷ 100)

Cost = Selling price ÷ (1 + Markup ÷ 100)

In words: profit is what's left after the cost; markup is that profit compared with the cost; the selling price is the cost plus the markup; and dividing the price by (1 + markup) takes the markup back off to reveal the cost.

How to calculate selling price from markup

Turn the markup into a decimal, add 1, and multiply by the cost. For a 50% markup on ₹600.00: the markup amount is ₹600.00 × 0.50 = ₹300.00, so the selling price is ₹600.00 + ₹300.00 = ₹900.00.

Going backwards works too. A selling price of ₹1,000.00 with a 25% markup came from a cost of ₹1,000.00 ÷ 1.25 = ₹800.00. Use "Find cost" for this.

Markup vs profit margin

This is the most important thing to get right. Markup and margin describe the same profit, measured against different amounts:

Markup: relative to cost

"How much profit was added on top of the cost?"

Profit ÷ Cost × 100

Margin: relative to selling price

"How much of the selling price is profit?"

Profit ÷ Selling price × 100

An item costs ₹60.00 and sells for ₹100.00, a profit of ₹40.00. The markup is ₹40.00 ÷ ₹60.00 × 100 = 66.67%, while the margin is ₹40.00 ÷ ₹100.00 × 100 = 40.00%. A 66.67% markup is not a 66.67% margin.

Cost, selling price, profit, markup and margin for several prices
Cost	Selling price	Profit	Markup	Margin
₹100.00	₹110.00	₹10.00	10.00%	9.09%
₹100.00	₹125.00	₹25.00	25.00%	20.00%
₹100.00	₹150.00	₹50.00	50.00%	33.33%
₹60.00	₹100.00	₹40.00	66.67%	40.00%
₹100.00	₹200.00	₹100.00	100.00%	50.00%
₹100.00	₹300.00	₹200.00	200.00%	66.67%

Markup and margin conversion

With markup and margin written as decimals (50% = 0.50):

Margin = Markup ÷ (1 + Markup)

Markup = Margin ÷ (1 − Margin)

For a 50% markup: 0.50 ÷ 1.50 = 0.3333, a 33.33% margin. For a 40% margin: 0.40 ÷ 0.60 = 0.6667, a 66.67% markup.

Markups and the equivalent margins
Markup	Equivalent margin
10.00%	9.09%
25.00%	20.00%
50.00%	33.33%
66.67%	40.00%
100.00%	50.00%
150.00%	60.00%
200.00%	66.67%

Markup examples

From cost and price: cost ₹600.00, price ₹1,000.00 → profit ₹400.00, markup 66.67% (margin 40.00%).
From cost and markup: cost ₹600.00, markup 50% → markup amount ₹300.00, selling price ₹900.00.
From price and markup: price ₹1,000.00, markup 25% → cost ₹800.00, profit ₹200.00.
Negative markup: cost ₹100.00, markup -20% → selling price ₹80.00, a ₹20.00 loss.

How negative markup works

A negative markup means the selling price is below the cost. A cost of ₹100.00 with a -20% markup gives ₹100.00 × 0.80 = ₹80.00, a loss of ₹20.00. Clearance sales and loss leaders work this way. Markups can go down to -100%, where the item is given away; anything lower would mean a negative price.

Common markup mistakes

Using markup as margin. Pricing at "40% markup" when you need a 40% margin leaves you at a 28.57% margin.
Dividing by the price. Markup is always divided by the cost; dividing by the price gives the margin.
Taking the markup off the price. A 25% markup on 800 gives 1,000, but 25% off 1,000 is 750, not 800. Divide by 1.25 instead.
Leaving costs out. If the cost excludes shipping, fees or packaging, the real markup is lower than the calculated one.

Frequently Asked Questions

How do I calculate markup?

Subtract the cost from the selling price to get the profit, divide by the cost and multiply by 100. Cost 600 and selling price 1,000 give 400 ÷ 600 × 100 = 66.67% markup.

What is the markup formula?

Markup % = (Selling price − Cost) ÷ Cost × 100. To go the other way, Selling price = Cost × (1 + Markup ÷ 100).

How do I calculate the selling price from a markup?

Multiply the cost by (1 + markup ÷ 100). A 50% markup on a cost of 600 is 600 × 1.5 = 900. Choose "Calculate selling price" and enter 600 and 50.

What is the difference between markup and margin?

Markup compares the profit with the cost; margin compares it with the selling price. For a cost of 60 and a price of 100, the profit of 40 is a 66.67% markup but a 40.00% margin. The two are never equal unless both are 0.

Is a 50% markup the same as a 50% margin?

No. A 50% markup gives a 33.33% margin. To get a 50% margin you need a 100.00% markup, which doubles the cost.

Can markup be more than 100%?

Yes. Markup has no upper limit: a 200% markup triples the cost. Margin, by contrast, can never reach 100% unless the cost is 0.

What does a negative markup mean?

It means selling below cost, at a loss. A cost of 100 with a -20% markup gives a selling price of ₹80.00 and a loss of ₹20.00. The calculator accepts markups down to -100% (a selling price of 0).

Why is markup not defined when cost is zero?

Markup divides the profit by the cost, and you can't divide by zero. The calculator shows the profit and says the markup is not defined instead of showing an error number.

How do I find the cost from a selling price and markup?

Divide the selling price by (1 + markup ÷ 100). A price of 1,000 with a 25% markup came from a cost of 1,000 ÷ 1.25 = 800.00. Use the "Find cost" option.

What is cost-plus pricing?

Setting the selling price by adding a fixed markup to the cost, for example cost plus 30%. The "Calculate selling price" option does exactly this.

Does the currency selector convert currencies?

No. It only adds a symbol to the results. Markups are percentages, so they are the same in any currency.

Are my numbers saved or sent anywhere?

No. The calculation runs in your browser; the numbers you enter are not sent to Q3 Labs or stored.

Is this calculator free?

Yes. It is free and needs no account.

Explore more

See the same sale as a margin with the Profit Margin Calculator, work out a sale price with the Percent Off Calculator, or find a price before a change with the Reverse Percentage Calculator. Browse all our free tools.

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