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The Business Loan Store

Interactive calculator

Markup vs margin calculator

Compare markup on cost with margin on selling price so pricing decisions use the right percentage.

Last reviewed 1 October 2026

Enter your numbers

Direct cost of the item or job.

The amount charged before GST.

Your entries are calculated on this device. They are not uploaded or saved.

Illustrative result

Gross profit per unit
$40
Markup on cost
66.7%
Margin on price
40.0%

Markup and margin use different bases. A price can have a 50% markup without having a 50% margin.

How to use this tool

Markup = profit ÷ cost × 100. Margin = profit ÷ selling price × 100.

A simple example

Costing $60 and selling for $100 gives a $40 gross profit, 66.7% markup and 40% margin.

Assumptions and limits

These are different denominators. Neither includes overheads or tax.

General information only. Check your own records and speak with a qualified professional where the decision depends on accounting, tax, legal or financial advice.

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