Business
Markup Calculator
Apply a markup to your cost to get a selling price, and see the margin that markup actually produces.
Result
Cost should be fully loaded. If your cost figure excludes overhead, the margin shown is gross and your real net margin is lower.
Get a Free Business AuditQuestions
About this calculator
What markup gives a 50% margin?
100%. Doubling your cost is the only way to keep half the selling price. A 50% markup produces just a 33% margin.
Why do contractors use markup instead of margin?
Because you start from a known cost and work forward. That is fine: the danger is targeting a margin number and applying it as a markup, which silently under-prices every job.
Should material and labour carry the same markup?
Not necessarily. Many trades mark materials up more than labour because materials tie up cash and carry waste and warranty risk.
The formula
price = cost × (1 + markup); margin = markup ÷ (1 + markup)
Put this calculator on your site
Free to embed. Paste this where you want it to appear. It stays up to date automatically because it loads from BDEVY.
Please keep the attribution line. It is the only thing we ask in return.
Keep going
Related calculators
Profit Margin Calculator
Calculate gross profit margin from revenue and cost, and see the markup that produces it..
Open calculatorPricing Calculator
Build a price from your costs, overhead allocation and target margin, instead of guessing from competitors..
Open calculatorContractor Markup Calculator
Apply the right markup to a job so overhead is covered and the margin you wanted actually survives..
Open calculatorGood numbers still need customers
BDEVY builds the marketing, websites, CRM and automation that turn a healthy spreadsheet into a busy schedule. The audit is free and you keep the findings.