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Markup & Margin Calculator

Convert between markup and margin percentages. Never confuse the two again.

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Markup is on cost price

Markup and margin are not the same

This trips up almost every freelancer and small business owner. Markup is calculated on your cost. If a job costs you Rs 1,000 and you add 50% markup, you charge Rs 1,500. Your profit is Rs 500. Margin is calculated on the selling price. On that same Rs 1,500 sale, your margin is 33%, not 50%.

Getting this wrong means you underprice your work. If you think a 50% margin means 50% markup, you are actually making less profit than you expect. The higher the margin, the bigger the gap between the two numbers.

Use this converter to flip between the two. Enter your cost and either the markup or margin you want, and it shows you the selling price and the actual profit. This way you know exactly what you are making on every job.

Frequently Asked Questions

What is the difference between markup and margin?+
Markup is the percentage added to your cost to get the selling price. Margin is the percentage of the selling price that is profit. A 50% markup is not the same as a 50% margin.
How do I convert markup to margin?+
Margin = Markup ÷ (1 + Markup). For example, a 50% markup = 50% ÷ 1.50 = 33.3% margin.
How do I convert margin to markup?+
Markup = Margin ÷ (1 - Margin). For example, a 40% margin = 40% ÷ 0.60 = 66.7% markup.