All free tools
Markup Calculator
Markup is a percentage of your cost. Margin is a percentage of your price. They are different numbers, and charging a 20% markup when you meant to keep a 20% margin quietly hands away a fifth of your profit. Put your cost in and see both.
Your numbers
Result
Price at your markup
$1,250
- Margin that actually gives you
- 20%
- Profit per job
- $250
- Price for your target margin
- $1,429
- Markup needed for that margin
- 42.9%
- What the confusion costsGap between the two prices
- $179
How this is calculated
- Price = cost × (1 + markup %).
- Margin % = (price − cost) ÷ price × 100.
- Price for a target margin = cost ÷ (1 − target margin %).
- Markup needed = (price for target margin ÷ cost − 1) × 100.
Before you order
- The rule of thumb worth memorising: to keep a 50% margin you need a 100% markup. To keep 33%, mark up 50%. To keep 20%, mark up 25%.
- Markup on cost is easier to apply in the field. Margin is what your accountant and your bank look at. Quote in markup, check in margin.
- Neither number means anything if the cost side is wrong — see the job cost calculator for what burden and overhead do to a cost figure.
Missing calls while you're on the job?
HeizerDesk answers your business phone 24/7, books the job on your calendar, and texts you the ones that can't wait. You can call it right now and talk to it yourself.