Home / Free Tools / Profit Margin Calculator
Enter your revenue and cost to instantly see your gross profit, profit margin, and markup — the numbers that tell you if your pricing works.
Your Numbers
What it cost you to make or buy.
Results
—
Profit margin
—
Gross profit
—
Markup
—
Cost-to-revenue
Profit margin is the percentage of each sale you actually keep after costs. It is one of the most important numbers in any business, because it determines how much you can afford to spend on marketing, staff, and growth. This calculator turns your revenue and cost into gross profit, margin, and markup in one glance — no spreadsheet required.
Pricing from cost up instead? Use the markup calculator. Want to know how many sales you need to cover your costs? Try the break-even calculator.
Good margins do nothing if customers cannot find you. We build the marketing engine — website, SEO, and follow-up — that fills your pipeline profitably.
Common Questions
Subtract cost from revenue to get gross profit, then divide by revenue and multiply by 100. For example, $80 revenue minus $50 cost is $30 profit; $30 ÷ $80 = 37.5 percent margin. This calculator does it instantly and also shows the equivalent markup.
It varies by industry. As a rough guide, a 10 percent net margin is considered average, 20 percent is healthy, and 5 percent is low. Gross margins (what this tool calculates) run much higher because they exclude overhead. Compare against typical margins in your specific industry.
Gross margin counts only the direct cost of the product or service. Net margin also subtracts all other expenses — rent, payroll, marketing, taxes — to show what you actually keep. This tool calculates gross margin, which is the right starting point for pricing decisions.
Yes. It is completely free, requires no signup, and runs entirely in your browser so your numbers never leave your device.