Profit Margin Calculator
Calculate profit, margin % and markup % from cost and selling price.
What is the Profit Margin Calculator?
A simple, general-purpose calculator for profit, profit margin and markup from any cost and selling price — useful for pricing decisions in any business, not just Amazon selling.
Margin vs. markup — they're not the same number
These two are commonly confused because they use the same two inputs but divide by different things:
- Profit Margin = Profit ÷ Selling Price × 100 — profit as a percentage of what the customer paid.
- Markup = Profit ÷ Cost × 100 — profit as a percentage of what you paid.
For the same $15 profit on a $20 cost item sold for $35: margin is 15/35 = 42.9%, but markup is 15/20 = 75%. The two will always differ (except in edge cases), and mixing them up is a common pricing mistake — a "50% margin" and a "50% markup" describe very different amounts of profit.
How to use it
- Enter your cost (what the item costs you).
- Enter your selling price.
- Read off profit, margin % and markup % instantly.