Content reviewed: 24 September 2026

Setting a selling price from cost and markup

This calculator starts with your cost and a desired markup percentage. It returns the markup amount and the resulting selling price.

Formula

Markup amount = Cost × (markup % ÷ 100)
Selling price = Cost + Markup amount

Example

A cost of 100 with a 25% markup adds 25, producing a selling price of 125. That does not mean the profit margin is 25%; the margin is 25 ÷ 125 = 20%.

Use the right percentage

Markup is measured against cost. Profit margin is measured against selling price or revenue. When a pricing target is stated as “margin,” use the Profit Margin Calculator rather than applying that number as a markup.

The result is a pricing calculation only. It does not decide whether the price covers overhead, taxes, discounts, platform fees or other operating costs.