Markup Calculator

Calculate markup percentage, selling price, and profit margins for your products and services with our comprehensive markup calculator.

Calculator

Calculator Details

Enter your information to calculate results

Results
$150.00
Selling Price
Cost Price
$100.00
Markup Amount
$50.00
Markup Percentage
50.00%
Profit Margin
33.33%

Calculation Breakdown

Cost Price:$100.00
+ Markup Amount:$50.00
= Selling Price:$150.00
Profit:$50.00

How It Works

The markup calculator helps determine pricing by calculating the relationship between cost, markup, and selling price.

Key Formulas

Selling Price: Cost Price + Markup Amount

Markup %: (Markup Amount ÷ Cost Price) × 100

Margin %: (Markup Amount ÷ Selling Price) × 100

Markup Amount: Cost Price × (Markup % ÷ 100)

Markup vs. Margin

  • Markup: Percentage added to cost price (based on cost)
  • Margin: Percentage of selling price that is profit (based on selling price)
  • Markup is always higher than margin for the same dollar amount
  • Both are important for pricing strategy and profitability analysis

Examples

Example 1: 50% Markup

Cost Price: $100

Markup: 50%

Markup Amount: $50

Selling Price: $150

Profit Margin: 33.33%

Example 2: 100% Markup

Cost Price: $75

Markup: 100%

Markup Amount: $75

Selling Price: $150

Profit Margin: 50%

Industry Standards

Retail: 50-100% markup

Restaurants: 200-400% markup

Jewelry: 100-300% markup

Electronics: 10-30% markup

Clothing: 100-200% markup

Services: 20-50% markup

Compare

Pricing Strategy Considerations:

  • Competition: Research competitor pricing before setting markup
  • Value Perception: Higher markup possible for premium or unique products
  • Volume vs. Margin: Lower markup may increase sales volume
  • Market Position: Luxury brands can command higher markups

Break-Even Analysis:

Consider fixed costs when setting markup:

  • Rent, utilities, salaries (fixed costs)
  • Marketing and advertising expenses
  • Insurance and business licenses
  • Target profit margins for sustainability