Discount Calculator
Calculate the price after a discount and tax, and see how much you save.
Finance
Finance
Profit Margin Calculator
Find product profit after shipping and payment fees, and distinguish margin from markup.
Enter your values
Your result
Profit margin after entered costs
30%
- Total cost per unit
- 70
- Profit or loss per unit
- 30
- Markup on cost (%)
- 42.86
- Total revenue
- 10,000
- Total entered costs
- 7,000
- Total profit or loss
- 3,000
An estimate based on your inputs. Review the assumptions and method below.
How does this calculator work?
The difference between buying and selling prices can look attractive before shipping and collection fees. Add the costs you pay per unit, then compare the resulting profit with both revenue and cost.
The formula
Unit profit = selling price − total unit cost. Margin = profit ÷ selling price × 100. Markup = profit ÷ total cost × 100.
What should you know?
- Enter shipping and payment fees as amounts per unit, not percentages. Use the same currency throughout.
- Includes only the costs you enter, not rent, salaries, taxes or returns automatically. Exclude recoverable tax from prices where applicable.
- Selling below cost produces a negative margin, indicating a loss.
Common questions
What is the difference between margin and markup?
With a cost of 80 and selling price of 100, profit is 20. Margin is 20% of the selling price; markup is 25% of cost. They describe the same profit using different bases.
How do I enter percentage fees or shared shipping?
Convert them to a cost per unit first. A 3% fee on a price of 100 is 3; shipping of 50 shared across 10 units is 5 per unit.
A worked example
- Unit cost is 80, shipping you pay is 5, and selling price is 100. This example assumes no other per-unit fees.
- Total unit cost is 80 + 5 = 85. Profit per unit is 100 − 85 = 15.
- Margin is 15 ÷ 100 × 100 = 15%. Markup on cost is 15 ÷ 85 × 100 ≈ 17.65%.
- Ten units produce a profit of 150 before fixed overhead and taxes. The calculation does not predict whether those units will actually sell.
This example is separate from the values you entered above.
Sources and verification
How do we choose formulas and check results?
Sources explain the method or its limits; they do not imply that the linked organizations endorse this calculator.