Profit Margin Calculator
Calculate gross profit, net-style profit, margin and markup from cost, price, expenses, tax and discount.
How to use Profit Margin Calculator
Three quick steps — no sign-up needed
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Step 1
Enter cost and selling price
Per-unit cost and selling price are the core inputs.
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Step 2
Add expenses, tax, discount if needed
Optional other expenses, tax rate, and discount adjust the picture toward net-style results.
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Step 3
Review profit, margin, markup
Compare absolute profit with margin % and markup % so pricing conversations stay precise.
About Profit Margin Calculator
Profit Margin Calculator analyses cost and selling price to show profit, margin percentage, and markup, with optional expenses, tax, and discount fields. Founders searching "profit margin calculator", "gross margin", and "markup vs margin" need these distinctions before changing prices.
Enter cost per unit and selling price. Optionally include other expenses, tax rate, and discount. Margin is profit relative to price; markup is profit relative to cost - mixing them up causes under-pricing.
Unit economics still ignore marketing CAC, returns, and overhead allocation unless you fold those into expenses. Use the tool for line-item clarity, then zoom out to full P&L reality.
Educational finance math only - not accounting or investment advice.
Benefits of Profit Margin Calculator
Frequently asked questions
How do you calculate profit margin?
Margin % is typically profit divided by selling price x 100 (definitions vary slightly with tax treatment).
How is markup different?
Markup % is profit divided by cost x 100.
What belongs in other expenses?
Extra per-unit or allocated costs you want included beyond base cost - be consistent.
Does discount apply before tax?
Follow the order shown in the results; mirror how your invoices actually work.
Is this accounting advice?
No - a calculator for understanding unit profit math.