Profit Margin Calculator
Last updated: June 14, 2026Gross margin, profit and markup from cost & price.
The Profit Margin Calculator turns a cost and selling price into your gross profit margin, dollar profit and markup in one instant calculation. Enter what an item costs you and what you charge; it shows profit (price minus cost), margin (profit divided by price) and markup (profit divided by cost). Ideal for pricing products, ecommerce listings and freelance quotes. Free, runs in your browser, no sign-up.
Disclaimer: This calculator is for informational and educational purposes only and is not financial advice. Actual figures depend on your provider, interest rates, fees, taxes and personal circumstances. Consult a qualified financial professional before making financial decisions.
How to use Profit Margin Calculator
This calculator needs just two numbers to reveal three pricing figures at once. Type in your cost and your selling price, and it instantly returns your dollar profit, gross margin percentage and markup percentage. Use it to sanity-check a price before you list a product, send a quote or set a retail tag. Everything recalculates live as you type.
Read the full guide: Profit Margin Calculator: Margin, Markup & Profit
- 1In the Cost field, enter what one unit costs you to buy, make or source, including any per-item expenses you want to account for.
- 2In the Revenue / selling price field, enter the price you charge the customer for that same unit.
- 3Read the three result cards instantly: Gross margin (the percent of the price you keep), Profit in your currency, and Markup (your gain as a percent of cost).
- 4Adjust either number to test scenarios, for example raise the selling price until the gross margin hits the target you need.
Margin and markup together
It shows both figures side by side so you never confuse a 30% margin with a 30% markup, which on a $70 cost are very different prices.
Pricing in real time
Profit, margin and markup all recompute the instant you change the cost or price, letting you reverse-engineer the selling price you need.
Works for any currency
The math is percentage-based and currency-agnostic, so dollars, euros, pounds or rupees all give correct margin and markup results.
Pricing a product for ecommerce
Before listing an item on Shopify, Etsy or Amazon, enter your unit cost and intended price to see the gross margin you would keep after the cost of goods. Nudge the price up or down until the margin covers your platform fees, shipping and target profit, so each sale actually earns what you expect.
Setting a freelance project price
Treat your direct costs, such as subcontractor fees, software or stock assets, as the cost, and your quote as the selling price. The calculator reveals the margin and profit baked into your quote, helping you confirm a job is worth taking before you send the proposal to a client.
Converting a target margin into price
If you know you need a 40% gross margin, type your cost and then adjust the selling price until the gross margin card reads 40%. This reverse approach gives you the exact price to charge instead of guessing, which is faster than rearranging the margin formula by hand.
Checking markup on supplier costs
Buyers and resellers often think in markup, the percent added on top of cost. Enter your wholesale cost and retail price to see the resulting markup, then compare it against the margin so you understand both how much you add and how much of the final price is profit.
Profit Margin Calculator — frequently asked questions
What is the gross margin formula used here?
Gross margin = (selling price − cost) ÷ selling price × 100. Profit is price minus cost, then divided by the price. With a $70 cost and $100 price, profit is $30 and margin is 30%.
What is the difference between margin and markup?
Both start from the same profit, but margin divides it by the selling price while markup divides it by the cost. So $30 profit on a $70 cost is a 30% margin yet a 42.86% markup.
Should I enter cost or price including tax?
Enter both figures on the same basis, usually pre-tax. Include only the costs you want reflected in the margin, such as unit cost or landed cost; the tool treats your inputs literally.
Is this gross margin or net margin?
It calculates gross margin, based purely on the cost and price you enter. It does not subtract overheads like rent, marketing or payroll, so your net margin will be lower than the figure shown.
Are my numbers private?
Yes. The calculation runs entirely in your browser with JavaScript. Your cost and price figures are never uploaded, stored or sent anywhere, and no sign-up is required.
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