Seller pricing and margin tool
Profit Margin Calculator
Calculate net profit, margin, markup and break-even selling price from the price and costs of any sale.
- 100% Free
- No Sign Up
- Instant Calculation
Your inputs
Include every sale cost: Add shipping, packaging, platform fees, payment fees, advertising and other variable costs to Additional Costs.
Your results
Cost Breakdown
Results are estimates based on the values entered. Profit margin uses selling price as its denominator; markup uses total cost.
How to use
- 1
Enter your selling price
Add the price you plan to charge for the product.
- 2
Enter your costs
Add your product cost and any additional costs connected with the sale.
- 3
Review your margin
See your estimated profit, margin, markup and break-even selling price instantly.
What this tool does
This general calculator helps you examine the economics of a sale without assuming marketplace-specific fees. Add every variable cost that applies to the order for a more useful estimate.
- ✓Net ProfitThe amount remaining after total costs are deducted from selling price.
- ✓Profit MarginNet profit expressed as a percentage of selling price.
- ✓MarkupProfit expressed as a percentage of total cost.
- ✓Break-even PriceThe minimum selling price required to cover the costs entered.
- ✓Total CostProduct cost plus all additional costs entered.
- ✓Cost PercentageTotal costs expressed as a percentage of selling price.
Formula & assumptions
Net Profit = Selling Price − Total Cost; Profit Margin = Net Profit ÷ Selling Price.
- Total Cost combines Product Cost and Additional Costs.
- Markup uses Total Cost as its denominator; Break-even Price equals Total Cost because no percentage fee is modeled.
Frequently asked questions
What is profit margin?
Profit margin shows the portion of a selling price that remains as profit after the costs entered are deducted.
How is profit margin calculated?
Profit margin equals net profit divided by selling price, expressed as a percentage. This tool returns 0% when selling price is 0.
What is the difference between profit margin and markup?
They use different denominators. Margin divides profit by selling price, while markup divides profit by total cost. The same sale can therefore have different margin and markup percentages.
What is a good profit margin?
There is no universal good margin. It depends on your industry, business model, competition, fees, costs and goals. Use the result to compare scenarios rather than as a guarantee.
How do I calculate selling price from cost and target margin?
A common formula is total cost divided by one minus the target margin expressed as a decimal. This tool focuses on calculating the margin for a selling price you enter.
What costs should I include?
Include product cost and relevant shipping, packaging, marketplace or payment fees, advertising and other variable costs in Additional Costs.
Can profit margin be negative?
Yes. When selling price is lower than total cost, net profit and margin are negative. The calculator keeps that result visible rather than restricting it.
Is profit margin the same as ROI?
No. Margin compares profit with selling price, while ROI commonly compares profit with an investment or cost base.