Markup Calculator

Calculate selling price, profit margin, and markup percentage instantly for retail and wholesale pricing strategies.

Calculate Markup

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Understanding Markup Calculations

A markup calculator helps businesses determine the right selling price for products by calculating the percentage added to the cost. This free online tool instantly computes markup percentage, profit margins, and final selling prices — essential for retail pricing, wholesale operations, and e-commerce strategies.

How Markup Works

Markup is the amount added to the cost price of goods to cover overhead and generate profit. The formula is straightforward: Selling Price = Cost × (1 + Markup %/100). For example, a $50 product with 60% markup sells for $80, yielding $30 profit.

Markup vs Margin: Key Differences

  • Markup is calculated from cost: (Selling Price - Cost) / Cost × 100
  • Margin is calculated from selling price: (Selling Price - Cost) / Selling Price × 100
  • A 50% markup equals approximately 33% margin
  • Understanding both metrics helps optimize pricing strategy and profitability

Common Industry Markups

Different industries use varying markup percentages: retail clothing typically ranges from 50-100%, grocery stores operate on 10-30% markup, specialty retail often uses 100-300%, while restaurants may markup food items 300-500% to cover overhead, labor, and operational costs. This calculator helps you find competitive yet profitable pricing for your specific market.

Why Use This Tool

Whether you're pricing inventory for an online store, calculating wholesale to retail conversions, or analyzing product profitability, this markup calculator provides instant, accurate results. Enter any two values (cost + markup % OR cost + selling price) to instantly see all related pricing metrics including profit margin, making it perfect for quick pricing decisions and business planning.

💡 Quick Tips

Standard Markup: Most retailers use 50-100% markup on products

Markup ≠ Margin: 50% markup = 33% margin. They use different bases.

Consider Costs: Factor in overhead, shipping, and operating expenses

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Frequently Asked Questions

What is markup and how is it calculated?
Markup is the percentage added to the cost of a product to determine its selling price. It is calculated as: Markup % = ((Selling Price - Cost) / Cost) × 100. For example, if a product costs $50 and sells for $75, the markup is 50%.
What is the difference between markup and margin?
Markup is calculated based on cost, while margin is based on selling price. Markup % = (Profit / Cost) × 100, whereas Margin % = (Profit / Selling Price) × 100. A 50% markup equals approximately 33% margin.
How do I calculate selling price from cost and markup?
To find selling price: Selling Price = Cost × (1 + Markup % / 100). For instance, a $100 product with 40% markup would sell for $140 ($100 × 1.40).
Can I use this markup calculator for retail pricing?
Yes, this calculator is perfect for retail, wholesale, and e-commerce pricing. Enter your product cost and desired markup percentage to instantly see the selling price, profit amount, and profit margin.
What is a good markup percentage for my business?
Typical markup percentages vary by industry: retail clothing (50-100%), electronics (10-30%), specialty goods (100-300%), and restaurants (300-500%). Consider your costs, competition, and market positioning when setting markup.
Is this markup calculator free to use?
Yes, this markup calculator is completely free with no sign-up required. Calculate unlimited product prices, margins, and markups instantly in your browser. All calculations are private and never stored.