Free tool · Business · No sign-up
Profit margin calculator
Find your profit, margin and markup from cost and price, or the price you need to hit a target margin.
Margin
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Selling price
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Profit per item
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Markup
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Break-even ROAS for ads
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Runs in your browser. Nothing you type is sent to us or stored.
How to use it
- 01
Pick what you know
Cost and price to find your margin, or cost and the margin you want to find your price.
- 02
Count all the costs
Product, packaging, delivery you pay and payment or cash-on-delivery fees.
- 03
Use the margin for ads
Your margin sets your break-even ROAS. Our ROAS calculator does that next step.
Questions about this tool
What's the difference between margin and markup?
Margin is profit as a share of the selling price. Markup is profit as a share of the cost. Buy at 600 and sell at 1,000: profit is 400, margin is 40%, markup is about 67%.
How do I price for a 40% margin?
Divide your cost by 0.6 (that is, 1 minus 40%). A product that costs 600 needs a price of 1,000 for a 40% margin. Choose "Find my price" above to do it for any margin.
Should tax be included?
Work out margin on prices without sales tax, because the tax isn't yours to keep. Check how tax applies to your business with your accountant.
Why does margin matter for advertising?
It tells you how much you can spend to win a sale. With a 25% margin, ads need to bring in at least 4 times their cost just to break even.
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