What is the difference between margin and markup?
Margin is profit as a percentage of selling price. Markup is profit as a percentage of cost price. They are related, but they are not the same number.
business tool
Profit Margin Calculator
Calculate profit, loss, margin, markup, and optional GST-adjusted selling price from cost and selling price.
Check profit, margin, and markup without spreadsheet formulas.
Use this tool for quick product pricing decisions, reseller checks, or GST-adjusted selling-price comparisons.
Profit outcome
₹250.00
This is the estimated profit after removing GST from the selling price when that view is enabled.
Margin breakdown
- Effective selling price
- ₹750.00
- Profit amount
- ₹250.00
- Loss amount
- ₹0.00
- Margin
- 33.33%
- Markup
- 50.00%
Use the GST toggle only when it helps decision-making
Margin and markup are calculated on the selling price excluding GST when GST view is enabled. Turn the toggle off if you only want the raw buy-vs-sell comparison.
About This Tool
This profit margin calculator is built for fast pricing checks when you want to know whether a product is actually profitable at the entered selling price.
It separates margin and markup so you can avoid the common mistake of treating both percentages as the same thing.
How To Use
- 1. Enter cost price and selling price.
- 2. Turn on GST view only if you want the tool to back out GST from the selling price.
- 3. Review profit or loss amount along with margin and markup percentages.
- 4. Share the link when you want to compare a few pricing options quickly.
Where This Tool Helps Most
- Product pricing for small businesses and online sellers
- Quick reseller checks before finalising a quote
- Separating GST impact from the true selling price
Frequently Asked Questions
When should I turn on the GST option?
Turn it on when your selling price already includes GST and you want the tool to estimate profit based on the pre-GST selling price.
What tool should I use after setting a target margin?
If you need tax-inclusive selling checks, pair this with our Smart GST Calculator (India).