Overview
What Is a Margin Calculator?
This tool calculates gross profit margin - the percentage of revenue that represents profit after subtracting cost.
Calculate profit margin from cost and revenue instantly.
This tool calculates gross profit margin - the percentage of revenue that represents profit after subtracting cost.
Useful for understanding profitability, comparing products, and financial analysis.
Input the cost of the item or service.
Input the price you sell it for.
Profit margin percentage updates automatically.
Margin% = ((Selling Price - Cost) ÷ Selling Price) × 100
Margin is a percentage of selling price; markup is a percentage of cost - they're different calculations that produce different numbers.
This varies enormously by industry - some sectors typically see 10-20% margins, others much higher or lower.
Yes, if you sell below cost, margin will be negative, indicating a loss.
Margin approaches but never reaches 100% mathematically, since that would require zero cost.
No, gross margin only accounts for direct costs; net margin accounts for all business expenses including overhead.
Either increase selling price or decrease costs, or a combination of both.
No, this is a basic gross margin calculation before taxes and other deductions.
No, calculations happen entirely in your browser.
Yes, completely free with no sign-up required.