Margin Calculator
Calculate gross margin, markup, and selling price. Three modes: find your margin from known revenue, set a price from a markup %, or determine what revenue you need to hit a target margin.
Gross Margin
33.33%
Revenue Breakdown
Frequently Asked Questions
What is the difference between margin and markup?
Margin (or gross margin) is profit expressed as a percentage of revenue: (Revenue − Cost) / Revenue. Markup is profit expressed as a percentage of cost: (Revenue − Cost) / Cost. A 50% markup equals a 33.3% margin — they are not the same number.
What is a good gross margin?
It depends heavily on the industry. Software/SaaS: 70–90%. Retail: 20–50%. Restaurants: 60–70% (but after labor and overhead, net margins are much lower). Manufacturing: 20–40%. Always compare against industry benchmarks rather than a universal standard.
How do I calculate gross margin?
Gross Margin % = (Revenue − COGS) / Revenue × 100. Example: if you sell something for $150 that cost you $100 to make, your gross margin is ($150 − $100) / $150 × 100 = 33.3%.
What's the formula to find selling price from a target margin?
Selling Price = Cost / (1 − Target Margin %). Example: cost is $100 and you want a 40% margin: $100 / (1 − 0.40) = $166.67. Use the 'Revenue from Margin' tab above to calculate this instantly.
Results are for informational purposes only. Gross margin does not account for operating expenses, taxes, or other costs. Not financial or business advice.