Margin Calculator
How It Works
Enter Values
Input your numbers
Calculate
Get instant results
Common Values
Retail
20-50% margin
Store products
Restaurants
60-70% margin
Food service
Software
80-90% margin
Digital products
Manufacturing
10-30% margin
Physical goods
What is a Margin Calculator?
A margin calculator is a simple business tool that helps you find your profit margin and markup percentage. This calculator shows you how much money you make from selling your products or services.
When you run a business, you need to know if you are making money. The margin calculator helps you understand your profit by comparing what you pay for something (cost price) with what you sell it for (selling price).
Profit Margin
Shows how much profit you make as a percentage of your selling price. Higher margins mean more profit per sale.
Markup Calculator
Calculates markup percentage based on your cost. This helps you set the right selling price for your products.
Business Tool
Perfect for retail stores, restaurants, online shops, and any business that sells products or services.
How to Use This Margin Calculator
1. Enter the cost price (what you paid for the item)
2. Enter the selling price (what you sell it for)
3. The calculator will show your profit, margin percentage, and markup percentage
Margin Calculator Examples
This table shows how the margin calculator works with different cost and selling prices. Notice how margin and markup percentages are different for the same numbers.
| Cost Price | Selling Price | Profit | Margin % | Markup % |
|---|---|---|---|---|
| $50 | $100 | $50 | 50% | 100% |
| $80 | $120 | $40 | 33.3% | 50% |
| $25 | $50 | $25 | 50% | 100% |
| $200 | $250 | $50 | 20% | 25% |
Frequently Asked Questions About Margin Calculator
What is the difference between profit margin and markup?
Profit margin shows your profit as a percentage of the selling price. Markup shows your profit as a percentage of the cost price. For example, if you buy something for $50 and sell it for $100, your margin is 50% but your markup is 100%.
How do I calculate profit margin with this calculator?
Simply enter your cost price and selling price in the margin calculator. It will automatically calculate your profit, profit margin percentage, and markup percentage. The formula is: Margin = (Profit ÷ Selling Price) × 100.
What is a good profit margin for my business?
Good profit margins vary by business type. Retail stores usually have 20-50% margins. Restaurants often have 60-70% margins. Software companies can have 80-90% margins. Manufacturing businesses typically have 10-30% margins.
Can I use this calculator for any currency?
Yes! This margin calculator works with any currency. Just enter your cost and selling prices in the same currency. The calculator will give you the correct profit margin and markup percentages.
How can I improve my profit margins?
You can improve margins by reducing your costs, increasing your selling prices carefully, making your business more efficient, or focusing on products with higher profit margins. Use this calculator to test different pricing strategies.
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