Business Pricing Calculator

Profit Margin Calculator

Use this profit margin calculator to measure profit margin percentage, profit amount, and the selling price needed for a target margin.

Use the profit margin calculator

Measure profit margin, target selling price, and profit amount from your cost and selling prices.

1) Profit margin % from cost and selling price

Enter the cost price and selling price.

2) Selling price for a target margin

Enter the cost price and target margin percentage.

3) Profit amount from cost and selling price

Enter the cost price and selling price to find the raw profit amount.

Worked examples

Example 1: A cost price of 80 and selling price of 100 gives a profit of 20 and a margin of 20%.
Example 2: To reach a 20% margin on a cost price of 80, you need a selling price of 100.
Example 3: The profit amount between 80 and 100 is 20.

Frequently asked questions

How is profit margin different from markup?

Profit margin is based on selling price, while markup is based on cost price.

Why does target margin require a selling price formula?

Because the margin percentage is a share of the final selling price, not the cost price.

Who uses a profit margin calculator?

Retailers, wholesalers, consultants, contractors, and anyone who prices products or services for profit.

Why this calculator is useful

Profit margin decisions affect both competitiveness and profitability. This page helps you work backwards from a target margin or measure the margin you already have.