Markup vs. margin calculator
Enter what the job costs you, then pick a markup, a margin, or the price you plan to charge. You'll see the other two right away.
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- Total cost
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- Price to charge
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- Gross profit
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- Markup
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- Margin
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■ Cost■ Profit
What's the difference?
Markup is profit as a share of your cost. Margin is profit as a share of the price. Same dollars, different denominator, so margin is always the smaller number.
Formulas: price = cost × (1 + markup). Margin = markup ÷ (1 + markup). Going the other way: price = cost ÷ (1 − margin).
A margin can never reach 100%, because that would mean the job cost you nothing. Markup has no ceiling: a 150% markup is a 60% margin.
Quick reference
| Markup | Margin | Price on $1,000 cost |
|---|
Want this built into your estimates?
The $19 Starter Pack applies your markup to every line of an estimate, splits materials and labor, and tracks what the job really cost. Get one email when it launches.