Optimize your product pricing.
Input your costs and target margins to calculate retail prices, gross profit margins, and markup percentages.
Configure Parameters
Live Payoff Analysis
Gross Profit Margin
--
Markup Percentage
--
Gross Profit Per Unit
--
Visual Projections
Amount
Interest
Values update automatically as inputs slide. Zero server logs.
Common Questions & Guidance
Frequently asked questions regarding Profit Margin Calculator.
What is the difference between Margin and Markup?
Margin is the ratio of profit to sales price: (Price - Cost) / Price. Markup is the ratio of profit to product cost: (Price - Cost) / Cost. For example, if a product costs $50 and sells for $100, the markup is 100% but the profit margin is 50%.
What is a healthy net profit margin for a business?
A healthy margin varies significantly by industry. Services and software businesses often enjoy gross margins over 70% and net margins over 20%. Retailers, restaurants, and manufacturing typically operate on thinner margins (5% to 15%).