Toolnest

Markup Calculator

Calculate the selling price and resulting profit margin when you apply a markup percentage on top of your cost.

$
%
Selling Price
$60.00
Markup Amount
$20.00
Resulting Margin
33.33%

How to use the Markup Calculator

Enter your cost price (what the item costs you).

Enter the markup percentage you want to apply.

The calculator shows the markup amount, final selling price, and the resulting profit margin percentage.

Markup Formula

Selling Price = Cost × (1 + Markup % ÷ 100)

Example

  • 1.Cost: $40
  • 2.Markup: 50%
  • 3.Markup amount = $40 × 0.50 = $20
  • 4.Selling price = $40 + $20 = $60
  • 5.Resulting margin = $20 ÷ $60 × 100 = 33.3%

Frequently Asked Questions

Frequently asked questions about the Markup Calculator

Why is my margin percentage lower than my markup percentage?+

Markup is calculated on cost, while margin is calculated on selling price — and selling price is always higher than cost. A 50% markup always produces a margin lower than 50%.

How do I hit a specific target margin?+

Use our Profit Margin Calculator to work backward from your target margin, or use the relationship: Markup % = Margin % ÷ (1 − Margin %).