Markup Calculator
Calculate selling price from markup percentage, or find markup from cost and price.
Price = Cost × (1 + Markup/100) = $100.00 × 1.50 = $150.00
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What is a Markup Calculator?
A Markup Calculator helps you determine the selling price by adding a percentage to your cost. Markup is the percentage added to the cost price to cover overhead and generate profit.
Our calculator offers 3 calculation modes: find selling price from cost and markup, find markup from cost and price, or find maximum cost for a target markup. Supports 6 currencies and shows both markup and equivalent margin.
Essential for retailers, wholesalers, e-commerce, and anyone who needs to price products profitably.
3 Calculation Modes
Find price, find markup %, or find maximum cost.
Markup Presets
Quick buttons for 25%, 50%, 100%, 200% markup.
Margin Equivalent
See both markup % and gross margin % together.
Visual Breakdown
See cost vs markup in visual bar chart.
Markup to Margin Conversion
| Markup | = Margin | Cost $100 → | Profit |
|---|---|---|---|
| 25% | 20% | $125 | $25 |
| 50% | 33.3% | $150 | $50 |
| 100% (Keystone) | 50% | $200 | $100 |
| 150% | 60% | $250 | $150 |
| 200% | 66.7% | $300 | $200 |
Key Formulas
Cost × (1 + Markup/100)
((Price - Cost) / Cost) × 100
Price / (1 + Markup/100)
Markup / (100 + Markup) × 100
Industry Markup Standards
Markup Pricing Tips
Use landed cost including shipping and handling
Keystone (100%) is a good starting point
Higher markup for unique products
Lower markup for high-volume commodities
Check competitor pricing before setting markup
Review markup quarterly as costs change
Common Markup Mistakes
Confusing markup (on cost) with margin (on price)
Not including ALL costs in COGS (shipping, packaging)
Forgetting to recalculate markup after discounts
Using same markup regardless of product category
Frequently Asked Questions
How do I calculate selling price from cost and markup?
Use formula: Selling Price = Cost × (1 + Markup/100). Example: Cost $100, Markup 50%. Price = 100 × 1.5 = $150. The $50 added is your profit per unit.
What is a good markup percentage?
Depends on industry: Grocery: 10-30%. Clothing: 100-200%. Electronics: 25-50%. Jewelry: 200-300%. Restaurants: 200-400% on food. Consider competition, perceived value, and operating costs when setting markup.
What is the difference between markup and margin?
Markup is profit as % of COST. Margin is profit as % of SELLING PRICE. Same profit, different base. 50% markup = 33.3% margin. 100% markup = 50% margin. Markup is always higher than margin for the same profit.
How do I calculate markup from cost and selling price?
Use formula: Markup = ((Price - Cost) / Cost) × 100. Example: Cost $80, Price $120. Markup = ((120-80) / 80) × 100 = 50%. You marked up the product by 50% over cost.
What is keystone markup?
Keystone is 100% markup (doubling the cost). Cost $50 → Sell $100. Popular in retail for simplicity. Results in 50% gross margin. May be too low for high-overhead businesses or too high for competitive markets.
How do I find maximum cost for a target markup?
Use formula: Cost = Price / (1 + Markup/100). Example: Price $200, Target 60% markup. Cost = 200 / 1.6 = $125. You can spend up to $125 on product to maintain 60% markup.
Should I use markup or margin for pricing?
Markup is easier for setting prices (add percentage to cost). Margin is better for financial analysis (what percent of revenue is profit). Use markup for pricing, margin for reporting. Our calculator shows both.
How does discount affect markup?
Discounts reduce effective markup significantly. Example: 100% markup product with 20% discount. Original: Cost $50, Price $100. After 20% off: Price $80, Profit $30 = 60% markup (down from 100%). Always calculate post-discount markup.
How do I convert markup to margin?
Formula: Margin = Markup / (100 + Markup) × 100. Common conversions: 25% markup = 20% margin. 50% markup = 33.3% margin. 100% markup = 50% margin. 200% markup = 66.7% margin.
What costs should I include in COGS for markup?
Include ALL direct costs: Product cost, shipping/freight, customs/duties, packaging, handling fees. This is your 'landed cost'. Apply markup to landed cost, not just product price. Excluding costs will eat into your actual profit.