What is this tool for?
Pricing profitably means not mixing up margin and markup. Markup is your profit as a share of cost; gross margin is your profit as a share of the selling price. Enter any two of the five values — cost, selling price, markup, margin or multiplier — and the calculator works out the rest. Use prices excluding sales tax.
How to use it in 3 steps
- 1
Enter any two known values, e.g. cost and target margin.
- 2
The other three values are calculated instantly.
- 3
Read the explanation to sanity-check your pricing.