Margin to markup converter
If you know the margin you want on the selling price, this gives the markup to put on cost to reach it.
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Processing and privacy: The result is calculated inside your browser and your data is not sent to any server.
How to use it
- Enter profit margin.
- The result appears straight away and updates as you edit.
- Copy the result, or copy a link that keeps the same values to share it.
How it is calculated
Markup = margin ÷ (100 - margin) × 100. Cost multiplier = 100 ÷ (100 - margin), and price = cost × multiplier.
Example
Inputs: Profit margin = 25 %. Result: Markup on cost: 33.33%; Cost multiplier: 1.3333.
Limits and caveats
- A margin of 100% or more is impossible, since it would mean zero cost.
- Assumes the margin is measured on the pre-tax price.
Questions about this tool
Why is markup always higher than margin?
The same profit is divided by cost for markup and by the larger selling price for margin.
What markup gives a 30% margin?
About 42.86%, which means multiplying cost by roughly 1.4286.
How do I use the cost multiplier?
Multiply unit cost by it to get the selling price that delivers the target margin.