Pricing

Profit margin calculator

Turn revenue and cost into gross profit, profit margin, markup, and a fast pricing sanity check.

Start with the calculation you need

Profit margin calculator

Check gross profit, margin, and markup before you quote or discount.

Gross profit

$3,800.00

This is the money left before overhead and taxes.

Profit margin

38%

Markup

61.3%

Margin is profit divided by revenue. Markup is profit divided by cost.

Questions people usually check before using this result

Is a higher margin always better?

Usually, but not by itself. A high-margin offer with low demand can still produce less profit than a lower-margin offer that sells faster.

Does this include overhead?

Only if you include overhead in the cost field. For clearer decisions, include direct costs first, then test overhead separately.

Related calculators

Related guides