This free markup calculator turns your unit cost into a selling price using the markup you want to add, then shows the profit and the equivalent margin instantly. Already have a price? Flip the mode and it works out the markup you are charging. Enter your numbers in any currency and see everything update live, with a clear breakdown of how markup and margin relate. It is the fastest way to price a product with confidence. No signup required.
Enter your cost and the markup you want to add — we work out the price.
What one unit costs you to make or buy.
The profit you add on top of cost, as a share of cost.
Selling price
$100.00
$60.00 profit per unit
Profit per unit
$60.00
Profit margin
60%
Markup on cost
150%
Cost per unit
$40.00
Markup vs margin
A 150% markup equals a 60% margin. Same $60.00 profit — markup divides it by your cost, margin divides it by your price.
Markup is profit as a share of cost. Margin is profit as a share of price. Because the price is always bigger than the cost, the margin is always the smaller of the two numbers.
Setting a markup is only step one. Auritrack tracks your real costs, prices, and profit as money moves, so you can see whether your markups are actually holding up.
Try Auritrack FreePick a mode. Use "Cost + markup% → price" when you know your unit cost and the markup you want to add. Use "Cost + price → markup%" when you already have a selling price and want to see the markup it represents.
Type what one unit costs you to make or buy. This is the cost of goods, before any profit is added. Both modes need this number, so it is always the first field.
In the first mode, enter the markup percentage you want on top of cost, for example 150%. In the second mode, enter the selling price you charge customers per unit.
The calculator instantly shows the selling price (or the markup you are charging), the profit per unit, and the equivalent profit margin. Numbers update live as you type, with no submit button.
Use the currency selector in the top right to price in dollars, pounds, euros, naira, or any supported currency. Your choice is remembered for the next time you use any Auritrack tool.
Markup is the amount you add on top of what a product costs you, expressed as a percentage of that cost. If a phone case costs you $8 to buy from a supplier and you sell it for $20, you have added $12 of profit on an $8 cost, which is a 150% markup. The formula is straightforward: markup percent equals profit divided by cost, times one hundred. To go the other way and find a price, you multiply the cost by one plus the markup as a decimal. Markup is the number most business owners think in, because it answers a practical question: given what this item cost me, how much do I add? It is the natural starting point for anyone setting prices for the first time, and it is what the "Cost + markup% → price" mode of this calculator is built around.
Markup and margin are the single most confused pair of terms in small business pricing, and mixing them up costs real money. Both describe the same profit, but they divide it by different numbers. Markup is profit as a share of your cost. Margin is profit as a share of your selling price. Take that phone case again: the $12 profit is 150% of the $8 cost (markup), but only 60% of the $20 price (margin). Same profit, two very different percentages. Because the price is always larger than the cost, the margin is always the smaller number of the two. The danger comes when someone is told to hit a "40% margin" and instead applies a 40% markup, which only produces a 28.6% margin and quietly leaves money on the table on every sale. This calculator always shows both figures together so you can see the relationship at a glance. For a deeper look at margins specifically, our profit margin calculator works the problem from the price side.
markup% = profit / cost × 100 | margin% = profit / price × 100
Where profit = price − cost. Markup divides by cost; margin divides by price.
A good markup does more than add a round number to your cost. It has to cover everything it takes to get the product into a customer's hands and still leave a genuine profit. Start with your true unit cost, which often includes more than the purchase price: shipping in, packaging, payment processing fees, and any returns or breakage. Then layer in the fixed costs that a single sale does not obviously carry, such as rent, salaries, software, and marketing. A markup that only covers the item itself can look healthy on paper while your business loses money overall. The practical approach is to set a markup high enough that your total gross profit across all sales comfortably covers those fixed costs, then verify it. Our break-even calculator shows exactly how many units you need to sell at a given markup before you start making money, which is the reality check every pricing decision needs.
Different industries have settled on very different markup norms, shaped by their costs, competition, and how fast inventory moves. The best-known convention is keystone pricing, a flat 100% markup that simply doubles the wholesale cost. It is the traditional default in retail because it is easy to calculate and, historically, left enough room to cover overhead and still discount when needed. From there, markups vary widely. Grocery stores work on thin markups of roughly 5% to 25% because they compete hard on price and rely on high volume. Restaurants mark up food 200% to 300%, since the plate of food is only part of what the customer is paying for; labor, rent, and ambiance are baked in. Clothing and jewelry often run from 100% up to 350%, and specialty or luxury goods can go higher still. Software and digital products can carry enormous markups because the cost to produce one more copy is close to zero.
These figures are reference points, not targets to copy blindly. A markup that works for a high-turnover grocery item would bankrupt a boutique that sells a few hand-crafted pieces a week, and vice versa. Use industry norms to sanity-check your own numbers, then set the markup your specific cost structure and market can actually support. If you sell across borders, the currency selector in this calculator lets you price the same product in each market's local currency without redoing the math.
Because markup and margin describe the same profit differently, you can convert directly between them without knowing the actual dollar amounts. To turn a markup into its margin, divide the markup by one hundred plus the markup, then multiply by one hundred: a 150% markup becomes 150 divided by 250, which is a 60% margin. To go the other way, divide the margin by one hundred minus the margin: a 60% margin becomes 60 divided by 40, which is a 150% markup. A few pairs are worth memorizing because they come up constantly: a 100% markup is a 50% margin, a 50% markup is a 33.3% margin, and a 25% markup is a 20% margin. Notice the margin is always the smaller number.
This conversion matters most when different people in a business speak different languages. Your accountant reports in margins because that is how financial statements express profitability, while your buyer or supplier quotes in markups. Being able to move between the two prevents costly misunderstandings. This calculator handles the conversion automatically, showing both numbers for every scenario. When you are ready to bill a customer at the price you have set, our invoice generator turns that price into a clean, professional invoice in seconds.
Find your gross and net profit margin, markup, and profit from cost and price, and see what a healthy margin looks like for your business.
Create professional invoices with auto-calculated line items and tax, then download a clean PDF. No signup, works in any currency.
Convert any amount between 150+ currencies with live exchange rates. Fast, accurate, and always up to date.
Price with Confidence
Setting a markup is only step one. Auritrack tracks your real costs, prices, and profit as money moves, so you can see whether the margins you planned are the ones you are actually earning. Supports every currency with AI-powered live exchange rates.
Disclaimer: This tool is provided for informational and educational purposes only. It does not constitute financial, tax, investment, or legal advice. Results are estimates based on the inputs you provide and may not reflect actual financial outcomes. Always consult a qualified financial professional before making financial decisions.
