Markup Calculator
Markup is the percentage you add to your cost to set the price. Apply one to see the final price — and the profit margin, which is a different (smaller) number than the markup.
Your numbers
Result
- Profit per unit
- $50.00
- Profit marginmarkup ≠ margin
- 33.33%
| Item | Value |
|---|---|
| Cost | $100.00 |
| Markup (50%) | $50.00 |
| Selling price | $150.00 |
How to apply a markup
The price is cost × (1 + markup): a $100 cost with a 50% markup becomes $150. Markup is always figured on the cost, which is what makes it quick to apply at the counter — take your cost and add the same percentage every time.
Markup is not margin
A 50% markup does not give a 50% margin. Margin is profit over the price, not the cost. Here the $50 profit against a $150 price is a 33.3% margin. Confusing the two quietly erodes your profit — retailers who "add 30%" and think they keep 30% are wrong. Convert with margin = markup ÷ (1 + markup).
Frequently asked questions
Sources
- Retail pricing — markup and margin
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