Free Markup Calculator
Calculate markup percentage, selling price, or cost. Understand your profit margins instantly.
Markup vs Margin Quick Reference
20%
Markup
16.67%
Margin
25%
Markup
20.00%
Margin
50%
Markup
33.33%
Margin
100%
Markup
50.00%
Margin
How to Calculate Markup
Markup Formula
Markup % = ((Price - Cost) / Cost) × 100
Example: Cost = $50, Price = $75
Markup = (($75 - $50) / $50) × 100 = 50%
Selling Price Formula
Price = Cost × (1 + Markup% / 100)
Example: Cost = $80, Markup = 25%
Price = $80 × 1.25 = $100
Markup vs Margin: What's the Difference?
Markup and margin are often confused. Markup is based on cost, while margin is based on selling price.
Markup
Percentage added to cost to get selling price.
Margin
Percentage of selling price that is profit.
| Markup % | = Margin % | Markup % | = Margin % |
|---|---|---|---|
| 10% | 9.09% | 15% | 13.04% |
| 20% | 16.67% | 25% | 20.00% |
| 30% | 23.08% | 33.33% | 25.00% |
| 40% | 28.57% | 50% | 33.33% |
| 75% | 42.86% | 100% | 50.00% |
| 150% | 60.00% | 200% | 66.67% |
Typical Markup Percentages by Industry
| Industry | Typical Range | Common |
|---|---|---|
| Grocery/Supermarket | a significant amount | 10% |
| Clothing/Apparel | a significant amount | 75% |
| Jewelry | a significant amount | 200% |
| Electronics | a significant amount | 20% |
| Furniture | a significant amount | 80% |
| Restaurant Food | a significant amount | 300% |
| Pharmaceuticals | a significant amount | 35% |
| Auto Parts | a significant amount | 40% |
| Software/SaaS | a significant amount | 200% |
| Professional Services | a significant amount | 100% |
Common Markup Questions Answered
What is a 25% markup on $100?
$100 × 1.25 = $125 selling price. You add $25 profit.
What is a 30% markup?
Add 30% of cost to the cost. $100 cost → $130 price.
What is a 40% markup?
Add 40% of cost. $100 → $140. Margin would be 28.57%.
What is a 50% markup?
Add half the cost. $100 → $150. Margin equals 33.33%.
What markup for 20% margin?
You need a 25% markup to achieve a 20% profit margin.
What markup for 30% margin?
You need a 42.86% markup to achieve a 30% margin.
The Ultimate Guide to Markup Calculation
Our markup calculator helps businesses determine the right selling price based on cost and desired profit. Whether you're a retailer, wholesaler, or service provider, understanding how to calculate markup is essential for profitability.
Why Use a Markup Calculator?
A markup percentage calculator takes the guesswork out of pricing. Instead of manually calculating each product's price, you can instantly determine:
• Selling price from cost and markup %
• Markup percentage from cost and selling price
• Cost price from selling price and markup (reverse markup)
Markup vs Profit Margin Explained
Many confuse markup and margin. The key difference: markup is calculated on cost, while margin is calculated on selling price. A 100% markup equals a 50% margin. Use our conversion table above to quickly convert between the two.
Frequently Asked Questions
How do you calculate markup percentage?
Markup % = ((Selling Price - Cost) / Cost) × 100. For example, if an item costs $50 and sells for $75: (($75 - $50) / $50) × 100 = 50% markup.
What is a 30% markup on $100?
A 30% markup on $100 cost: $100 × 1.30 = $130 selling price. The profit is $30.
What's the difference between markup and margin?
Markup is calculated as a percentage of cost (profit ÷ cost × 100). Margin is calculated as a percentage of selling price (profit ÷ price × 100). A 50% markup = 33.33% margin.
How do I calculate selling price from markup?
Selling Price = Cost × (1 + Markup% / 100). With $80 cost and 25% markup: $80 × 1.25 = $100.
What markup do I need for a 20% margin?
To achieve a 20% profit margin, you need a 25% markup on cost.
How do I reverse calculate cost from selling price?
Cost = Selling Price / (1 + Markup% / 100). With $150 price and 50% markup: $150 / 1.50 = $100 cost.
Is 100% markup the same as 100% profit?
No. A 100% markup doubles your cost ($100 → $200), but the profit margin is only 50% because profit ($100) is half the selling price ($200).
What is a typical retail markup?
Retail markups vary by industry: Grocery a significant amount, Clothing a significant amount, Jewelry a significant amount, Electronics a significant amount, Restaurants a significant amount.
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