Markup & Margin Calculator
Convert between markup and margin — they are not the same number.
How it works
Markup is profit as a percentage of cost. Margin is profit as a percentage of price. They describe the same transaction and give different numbers, which is where money quietly leaks out of small businesses.
A 50% markup is a 33% margin. A 50% margin requires a 100% markup. Pricing a job at "cost plus 30%" when you needed a 30% margin leaves you 7 points short on every single sale.
Common questions
Which should I price on?
Margin. It is the share of the customer's money you keep, so it is what covers overheads and what everyone else in your industry quotes.