Calculate markup percentage from cost and price, or find your selling price from a desired markup.
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Markup Calculator
Calculate markup percentage from cost and price, or find your selling price from a desired markup.
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$
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Results
Markup %
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% of cost
Margin %
—
% of price
Profit
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dollars
Selling Price
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recommended
Formula Used
Markup = (Selling Price − Cost) ÷ Cost × 100
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What Is Markup?
Markup is the amount added to a product's cost to arrive at its selling price, expressed as a percentage of the cost. It's the primary pricing method used in retail, wholesale, and manufacturing. If something costs $50 and you sell it for $75, your markup is 50% — you added 50% of cost as profit.
Unlike margin (which is expressed as a percentage of the selling price), markup is always expressed as a percentage of cost. This is why the same profit can look very different depending on whether you calculate markup or margin.
📊 Real Business Example
A hardware store buys a power drill for $85 and sells it for $149.
Same profit — completely different percentages. This is why knowing which method your industry uses matters.
How to Use This Markup Calculator
Enter your cost price — what you pay for the product or to deliver the service.
Enter the selling price to see the markup and margin percentages simultaneously.
Alternatively, enter a desired markup % and the calculator computes the selling price you need.
Review results — both markup and margin are shown so you can use whichever your business tracks.
Frequently Asked Questions
Markup is the percentage added to the cost of a product or service to arrive at the selling price. Formula: (Selling Price − Cost) / Cost × 100. A 50% markup on a $100 item means you add $50, selling it for $150.
It depends on the industry. Jewelry: 100-200%. Retail clothing: 50-100%. Electronics: 10-30%. Restaurants (on food): 200-300%. Wholesale: 15-30%. Your markup must be high enough that after all operating costs, you still have positive net margin.
Markup is profit ÷ cost. Margin is profit ÷ selling price. A 50% markup equals only a 33.3% margin. A 100% markup equals a 50% margin. Retailers typically use margin; manufacturers often use markup. Both measure the same profit dollar, just from different bases.
Margin = Markup / (1 + Markup). For a 50% markup: Margin = 0.50 / 1.50 = 33.3%. Or use our Markup vs Margin Calculator which does this automatically in real-time.
Selling Price = Cost × (1 + Markup%). For a $60 item with 40% markup: $60 × 1.40 = $84. Enter the cost and desired markup % in this calculator and it computes the selling price instantly.
Markup = Margin / (1 − Margin) = 0.30 / 0.70 = 42.86%. For a 40% margin: 0.40 / 0.60 = 66.67% markup. For a 50% margin: 0.50 / 0.50 = 100% markup.
It depends on your industry norms. Retailers typically think in margin because it directly relates to what percentage of revenue they keep. Manufacturers and wholesalers often use markup because they're adding to a known cost. The key is being consistent and knowing which you're using.
Keystone markup is a 100% markup — doubling the wholesale cost to get the retail price. It was a standard rule of thumb in retail for decades. It equates to a 50% margin. Many modern retailers target higher or lower depending on competition and product category.