Free with a Skopx account
Profit Margin Calculator: margin, price or cost from any two
Profit Margin Calculator
How it works
Two numbers in, the third one out.
Enter two numbers
Type any two of cost, selling price and profit margin. Leave the one you want empty.
Press Calculate
The calculator works out the missing number in your browser.
Read all five numbers
The result lists cost, price, profit, margin and markup together, with the formula that gave the answer.
How to read a profit margin
Three things to know before you set a price.
Margin is not markup
Margin is profit as a share of the price. Markup is profit as a share of the cost. The same sale has a 40% margin and a 66.67% markup.
Count every cost
A margin is only as true as the cost you put in. Include packaging, delivery and fees, not only what you paid for the goods.
A margin stays under 100%
A margin of 100% would mean the product cost nothing. A markup has no such limit.
Questions
What is a profit margin?
It is the share of the selling price that is profit: price minus cost, divided by price, as a percent. A product that costs $30 and sells for $50 has a 40% margin.
What is the difference between margin and markup?
Both start from the same profit. Margin divides it by the selling price and markup divides it by the cost, so for a product sold at a profit the markup is the larger number.
What does Profit Margin Calculator cost?
Profit Margin Calculator is free with a Skopx account. You sign in before the calculator appears, and making an account costs nothing.
What happens to the numbers I type?
They stay in your browser. The calculator does the sum on your device and sends nothing you type to Skopx.
What can it not do?
It works on one product or one sale at a time. It does not know your overheads or your taxes unless you include them in the cost.
Skopx is your company's SI
SI is the new name for AI. Skopx answers from your tools, builds what you describe, drafts for your yes, and learns as you work.