Profit Margin Calculator
This calculator helps you determine the selling price or cost based on your desired profit margin or markup. It supports two types of calculations: Margin and Markup.
Cost:€0.00
Profit:€0.00
Selling Price:€0.00
Margin:0.00%
Markup:0.00%
What's the difference between Margin and Markup?
Profit margin is calculated as a percentage of the selling price, while markup is calculated as a percentage of the cost. For example, a product that costs €100 and sells for €125 has a 20% margin but a 25% markup.
Calculation Types Explained
Cost to Selling Price
Use this when you know your cost and want to determine the selling price based on your desired margin or markup. For example:
- If your product costs €100 and you want a 20% margin, the calculator will determine your selling price should be €125
- If your product costs €400 and you want a 20% margin, the calculator will determine your selling price should be €500
Selling Price to Cost
Use this when you know the market price (selling price) and want to determine your maximum cost to achieve desired profitability. For example:
- If you need to sell at €100 and want a 20% margin, the calculator will show your maximum cost should be €80
- If you need to sell at €400 and want a 20% margin, the calculator will show your maximum cost should be €320
How to use this calculator
- Choose whether you want to calculate from cost or selling price
- Select margin or markup calculation method
- Enter your cost or selling price
- Input your desired margin or markup percentage
- The calculator will show you all related values automatically
Common Profit Margins
Profit margins vary widely by industry and business model. Some common ranges include:
- Retail: 25-50%
- Restaurants: 3-5%
- Manufacturing: 10-20%
- Software/Digital Products: 50-80%