About this calculator
Markup is the percentage you add on top of your cost to get your selling price. Buy something for £50, add 60%, and you sell it for £80.
Enter your cost and markup to get the price, or enter a cost and a price to see what markup you've actually applied. The profit margin appears alongside, because that's the number most people compare against their targets.
Worked examples
Real numbers, worked out by the same calculator. Press “Use these numbers” to try one above.
Cost £50 with a 60% markup
- Selling price
- £80.00
- Profit
- £30.00
- Profit margin
- 37.5%
- Markup
- 60%
Adding 60% to a cost of £50.00 gives a price of £80.00. Your profit margin is 37.5%.
Cost £80, sold at £100
- Markup
- 25%
- Profit
- £20.00
- Profit margin
- 20%
A price of £100.00 on a cost of £80.00 is a markup of 25%.
Cost £12.50 with a 100% markup
- Selling price
- £25.00
- Profit
- £12.50
- Profit margin
- 50%
- Markup
- 100%
Adding 100% to a cost of £12.50 gives a price of £25.00. Your profit margin is 50%.
The formulas
Selling price = cost × (1 + markup). A 60% markup on £50 is £50 × 1.6 = £80.
Markup = (price − cost) ÷ cost × 100. Cost £80 and price £100 gives 20 ÷ 80 = 25%.
Margin = (price − cost) ÷ price × 100. The same £80 → £100 sale is a 20% margin.
Why a 30% markup isn't a 30% margin
Suppose you want a 30% profit margin and you add 30% to your costs. On a £100 cost you'd charge £130 and keep £30, which is only 23.08% of the price. To actually get a 30% margin you'd need a markup of 42.86%.
If your goal is a target margin, use the profit margin calculator to find the price directly.
Frequently asked questions
How do I calculate markup?
Subtract the cost from the selling price, divide by the cost, and multiply by 100. Cost £80 and price £100 is a 25% markup.
How do I add a markup to a cost?
Multiply the cost by 1 plus the markup as a decimal. For a 60% markup, multiply by 1.6.
What's the difference between markup and margin?
Markup is calculated on cost, margin on price. The same sale always has a smaller margin than markup, for example a 50% markup is a 33.33% margin.
Can markup be over 100%?
Yes. A 100% markup doubles the cost, and a 200% markup triples it. Margin can't go over 100%.
Should I price using markup or margin?
Either works if you're consistent. Markup is quick for setting prices from costs. Margin is easier to compare with financial targets. Just don't mix them up.
Formulas tested against hand-worked answers. Last reviewed 29 September 2026. These calculators do arithmetic only; they are not financial, tax or legal advice.