# Free Markup Calculator: Markup %, Selling Price and Margin Turn cost into selling price, or price into markup %. Shows the gross margin those same numbers produce, so markup and margin never get confused again. URL: https://www.easeclaw.com/tools/markup-calculator ## Markup Calculator Cost in, price out, and the margin your markup actually produces. Category: Calculators. Markup and margin describe exactly the same dollars and produce two different percentages, which is why this markup calculator always prints both. Markup is profit divided by cost: buy for $40, sell for $64, and you marked it up 60%. Margin is profit divided by price, so that same $24 is a 37.5% margin. Confuse the two and you underprice everything. A business that needs a 40% margin but applies a 40% markup actually lands at 28.6% and bleeds quietly all year. Enter your cost plus whichever number you already have, and this returns the other, both ways round. ## What you enter - **Cost per unit ($)** (required). Example: e.g. 40 - **Markup % (optional: leave blank if you know the price)** (optional). Example: e.g. 60 - **Selling price ($) (optional: leave blank if you know the markup)** (optional). Example: e.g. 64 The button reads "Calculate my markup". ## Markup vs margin: the difference that decides your price - Markup divides profit by cost; margin divides profit by price. Same profit, different denominator, which is why margin is always the smaller of the two percentages. - Converting a target margin into a markup: markup = margin / (1 − margin). A 40% margin needs a 66.7% markup, not 40%, probably the most expensive arithmetic slip in small-business pricing. - Converting the other way: margin = markup / (1 + markup). A 50% markup is a 33.3% margin, and doubling your cost, a 100% markup, is exactly a 50% margin. - Set markup from the margin your business requires, not from habit or from what the last owner charged. Decide what has to be left to cover overhead and profit, then work backwards to the multiplier. - Use fully-loaded cost, not the invoice figure. Freight, payment processing, breakage, returns and warranty work are all part of what a unit really costs, and each one eats margin invisibly. - Different products can carry different markups. That is normal and often correct. What has to hold steady is the blended margin across your mix, because that is what actually pays the fixed costs. ## Example output **Cost + markup %:** Cost per unit $40 - markup 60% - selling price left blank ```text Selling price: $64.00 Profit per unit: $24.00 Markup: 60.0% (profit / cost) Gross margin: 37.5% (profit / price) Same $24.00 of profit, two different denominators: a 60.0% markup is a 37.5% margin. Markup divides by cost, margin divides by price, so margin is always the smaller number. ``` ## Frequently asked questions ### Is markup the same thing as margin? No, and the gap widens as the numbers grow. Markup is profit / cost; margin is profit / price. A 60% markup is a 37.5% margin, and a 100% markup is a 50% margin. Quoting a markup as though it were a margin is how jobs get priced below the level the business needs to survive. ### What markup do I need for a 50% margin? A 100% markup: double your cost. The conversion is markup = margin / (1 − margin), so 50% margin needs 0.5 / 0.5 = 100%. A 40% margin needs 66.7%, and a 60% margin needs 150%. Enter the resulting price above and the calculator confirms where the margin actually lands. ### Can I work backwards from a price I already charge? Yes. Leave the markup field blank and enter your selling price instead. You get the markup that price implies plus the margin it produces, so you can compare what you actually charge against what your pricing policy says. Fill in both fields and the price wins, with the implied markup called out explicitly. ### Why is this free, and what's the catch? No catch and no signup. This tool is funded by EaseClaw, an AI agent that finds warm buyers on LinkedIn, reaches out for you and books the meetings. If the free tool is useful, some people try the free trial. That's the whole business model. ## More free tools - [Gross Margin Calculator](https://www.easeclaw.com/tools/gross-margin-calculator): What each revenue dollar keeps once the cost of delivering it is paid. - [Contribution Margin Calculator](https://www.easeclaw.com/tools/contribution-margin-calculator): What one more sale contributes once its variable costs are paid. - [Break-Even Calculator](https://www.easeclaw.com/tools/break-even-calculator): How many sales until the lights are paid for. ## Related tools - [Conversion Rate Calculator](https://www.easeclaw.com/tools/conversion-rate-calculator): Your rate, what the next point of it is worth, and a checklist to go get it. - [B2B SaaS Metrics Calculator](https://www.easeclaw.com/tools/b2b-saas-calculator): CAC, LTV, payback and the logos behind your ARR target, from numbers you already know. - [ROAS Calculator](https://www.easeclaw.com/tools/roas-calculator): Return on ad spend, and the break-even number your margin actually requires. - [ROI Calculator](https://www.easeclaw.com/tools/roi-calculator): What the money came back as, and what that rate looks like across a year. --- ## About EaseClaw EaseClaw is an AI agent for LinkedIn outreach for founder led B2B teams. It reads your site, works out who your buyers are, writes the invite and the follow up in your voice, and sends from your own connected LinkedIn account at the pace you set. Review every message, or let it run. You work the replies. EaseClaw never posts to public feeds. Plans: Pro $99 a month, Business $199 a month, monthly only. The trial is 14 days free. No card. Nothing is charged during it. - Website: https://www.easeclaw.com/ - Start the free trial: https://www.easeclaw.com/trial