This markup calculator converts between cost, price, markup, and profit margin — the figures every maker selling work needs to get right. Confusing markup with margin is a classic pricing mistake that quietly erodes profit, and this tool keeps them straight.
Markup versus margin
Markup is profit as a percentage of cost; margin is profit as a percentage of the selling price. They are not the same number. A 50% markup on a £100 cost gives a £150 price and a £50 profit — but that profit is only a 33% margin of the £150 price. The calculator takes any two of cost, price, markup, or margin and returns the rest, so you can price from either direction.
Knowing both matters because suppliers and accountants often talk in different terms: you might buy on markup but report on margin. Pricing on the wrong one means charging less than you think and leaving money on the table on every sale.
Pricing your work
Good pricing starts from true cost — materials, consumables, and an honest value for your time — then applies a markup that covers overheads and leaves a real profit. Use the calculator to test price points and see the margin each one yields, and to translate a target margin back into the price you must charge.
A piece costs £80 in materials and time, and you want a 40% profit margin.
- Margin is profit as a share of price, so price = cost ÷ (1 − margin).
- Price = 80 ÷ (1 − 0.40) = 80 ÷ 0.60 ≈ £133.
- Profit = 133 − 80 = £53 (which is a 40% margin, but a 66% markup on cost).
Charge about £133 for a 40% margin — note that's a 66% markup, not 40%.
