Markup Calculator
Turn a cost and a markup into a price, or convert between markup and margin without getting them mixed up.
Updated October 2026
| Markup | Margin | Price on $25.00 cost |
|---|---|---|
| 10% | 9.1% | $27.50 |
| 20% | 16.7% | $30.00 |
| 25% | 20.0% | $31.25 |
| 33.33% | 25.0% | $33.33 |
| 50% | 33.3% | $37.50 |
| 75% | 42.9% | $43.75 |
| 100% | 50.0% | $50.00 |
| 150% | 60.0% | $62.50 |
| 200% | 66.7% | $75.00 |
Markup formula
Markup % = (Selling price − Cost) ÷ Cost × 100. Selling price = Cost × (1 + Markup %). A $25 item with a 60% markup sells for 25 × 1.6 = $40, and the $15 profit is 60% of cost but only 37.5% of price, which is the margin.
Cost-plus pricing (pick a markup, apply it to every product) is simple and common in retail, wholesale, and construction. Its weakness is that it ignores what customers will pay; use it as a floor, not a ceiling.
Typical markups by industry
- Grocery: 10%–35% (higher on produce and prepared foods, lower on staples).
- Restaurants: 200%–300% on food cost (i.e. food cost is 25%–33% of menu price); 400%+ on drinks.
- Clothing and shoes: 100% (keystone) at retail; 50%–60% at wholesale.
- Furniture: 200%–400%.
- Jewelry: 100%–300%.
- Electronics: 5%–25%; accessories and cables often 100%+.
- Contractors: 15%–35% on materials and subcontractors.
- Wholesale distributors: 15%–30%.
Converting markup to margin
Margin = Markup ÷ (1 + Markup). A 100% markup is a 50% margin; a 50% markup is a 33.3% margin; a 25% markup is a 20% margin. Going the other way, Markup = Margin ÷ (1 − Margin): a 40% margin needs a 66.7% markup. Keep the table above handy when talking to suppliers or accountants, because “40%” means very different prices depending on which term they mean. See the profit margin calculator if you'd rather start from a margin target.
Frequently asked questions
What is a 30% markup on $100?+
$130. Multiply the cost by 1.30. The $30 profit is a 30% markup but a 23.1% margin.
Is markup or margin more important?+
Margin, for running the business: it tells you what fraction of revenue is left to cover overhead. Markup is more convenient for setting prices from cost. Just don't mix them up.
How do I add markup to a price that includes sales tax?+
Apply markup to your cost first to get the pre-tax selling price, then add sales tax on top. Sales tax is collected for the state and isn't part of your margin. The sales tax calculator can add it.
Can markup be more than 100%?+
Yes. Restaurants, jewelry, and furniture routinely mark up 200%–400%. A 300% markup means the price is four times the cost, which is a 75% margin.