Free tool
Margin & Markup Calculator
Work out a deal in seconds: revenue, net profit, margin, markup and the break-even price — including marketplace fees and tax.
The bot does the same step by step or in one line: 500 800 50 15 6 10 — and lets you forward the result to a partner.
How it is calculated
Revenue = selling price × quantity.
Fees = revenue × fees %. Tax = revenue × tax %.
Total costs = (cost + extra costs) × quantity + fees + tax.
Net profit = revenue − total costs.
Margin = profit ÷ revenue × 100%. Markup on cost = profit ÷ total costs × 100%.
Break-even price = (cost + extra costs) ÷ (1 − (fees % + tax %) ÷ 100).
Example: cost 500, selling price 800, extra costs 50, fees 15%, tax 6%, 10 units. Revenue 8,000, total costs 7,180, profit 820, margin 10.25%, break-even price 696.20.
The calculator is a planning tool, not a financial guarantee. Check your platform's current fees and your tax rate.
Frequently asked questions
What is the difference between margin and markup?
Margin is profit as a share of the selling price: profit ÷ revenue × 100%. Markup is profit relative to your costs: profit ÷ costs × 100%. For the same deal, markup is always higher than margin. Example: an item sold for 80 with total costs of 60 makes 20 profit — a 25% margin and a 33.3% markup.
How do I include marketplace fees?
Enter the platform's percentage fees — referral, transaction or payment-processing fees — in “Fees, %”. The calculator takes them from revenue, the way most marketplaces charge them. Fixed per-item fees, shipping, packaging and advertising per unit go into “Extra costs per unit”.
What is the break-even price?
It is the lowest selling price per unit at which profit is zero after purchase cost, extra costs, fees and tax. Selling below it means losing money on every unit.
How do I find the price for a target margin?
Use the “Price for a target margin” block: enter cost, extra costs, fees, tax and the margin you want. Formula: (cost + extra costs) ÷ (1 − (fees % + tax % + margin %) ÷ 100).
What should I enter in “Tax, %”?
A tax charged on revenue that is included in your price, such as VAT or a turnover tax. If tax is added on top of your price, or you only pay tax on profit, enter 0.
Can I calculate in Telegram?
Yes. The @margin_business_bot bot does the same calculations step by step or in one line, for example “500 800 50 15 6 10”, and lets you forward a calculation to a partner. Free and unlimited.