Skip to content
KJPOkjpo

Margin Calculator

Work out profit margin from cost and selling price.

Margin

Work out profit margin from cost and selling price.

Margin

25%

  • Profit: 25.00

Margin is profit as a percentage of selling price. It is not the same as markup, which is profit as a percentage of cost.

Looking for the other side of the sale? Markup Calculator →

How it works

Enter the cost and the selling price.

Profit is the selling price minus the cost. Margin is that profit as a percentage of the selling price.

Margin is profit as a percentage of selling price, not cost — that is markup. The two describe the same sale differently and are not interchangeable.

Formula

profit = selling price − cost

margin % = (profit ÷ selling price) × 100

Worked example: Cost 75, selling price 100 gives a margin of 25%

More examples and edge cases

  • The same sale (cost 75, selling price 100) is a markup of 33.333333% on cost, but a margin of 25% on selling price
  • Selling below cost gives a negative margin: cost 120 and selling price 100 is a loss of 20.00, or -20%
  • A selling price of zero gives no result, because margin divides by the selling price

More calculators