Freelancer & Business
Margin, markup & discount calculator
Margin and markup are not the same thing, and mixing them up costs money. Pick what you know and get the rest, with sales tax, VAT or GST added if you need it.
- Free, no sign-up
- Runs in your browser
- Nothing uploaded
Question
Only changes the symbol and number format. No exchange rates are used.
Numbers
Extras
For example 5, 10, 20 or 25. Leave at 0 for no tax.
Result
Table
How it works
Margin = (price − cost) ÷ price × 100
Markup = (price − cost) ÷ cost × 100
Price for a target margin = cost ÷ (1 − margin)
Price for a target markup = cost × (1 + markup)
Break-even units = fixed costs ÷ (price − variable cost)
A 50% markup is a 33.3% margin, and a 40% margin needs a 66.7% markup. Margin is the share of the selling price you keep, markup is how much you add on top of cost. Quote with the one your accountant reads, and never swap them in a formula.
Frequently asked questions
Which is better to use, margin or markup?
Margin tells you how much of every rupee of sales is profit, so it compares well with other businesses. Markup is quicker for setting a price from a cost. Use whichever your team agrees on, consistently.
How are two discounts combined?
One after the other, not added. 20% then 10% takes 28% off the original price.
Is anything sent anywhere?
No. It runs in your browser.