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NumLuma› Business›Markup
Business · calculator Business Profit & Pricing Calculators ↗

Markup Calculator

Calculate markup percentage from cost and selling price and see the dollar amount added. Compare markup with profit margin.

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Markup Live result
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Calculation breakdown
How to read this result

Use the result to compare scenarios and verify the inputs, units and real-world conditions before making an important decision.

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Useful next calculationProfit Margin
How to use it

A clear result in a few inputs.

  1. Enter the requested values.Use consistent units and the real values for your scenario.
  2. Read the main result and breakdown.NumLuma recalculates immediately when an input changes.
  3. Check the formula and assumptions.Use the supporting context before making a real-world decision.

What this calculator does

Markup measures how much a selling price exceeds cost relative to that cost. Because markup uses cost as its denominator, it will not equal profit margin for the same transaction. This page keeps cost, selling price and added value visible together.

What to know before you use the result

  • Markup = (price − cost) ÷ cost.
  • A 50% markup does not mean a 50% profit margin.
  • Use the same cost basis when comparing products.

Common mistakes to avoid

  • Applying a target margin percentage directly as a markup.
  • Leaving out costs that are normally included in your product-cost definition.
  • Comparing markup percentages across businesses that calculate cost differently.
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Formula reference

Markup Formula

Markup % = ((selling price − cost) ÷ cost) × 100

Learn the markup formula and why markup percentage is different from profit margin.

Understand the formula →
Assumptions & scope

Know what the number includes.

Commercial business intent. Define the metric precisely and distinguish it from neighboring metrics to avoid thin or interchangeable pages.

How NumLuma checks calculators →
Part of a curated toolkit

Business Profit & Pricing Calculators

Best for pricing decisions, campaign analysis and operating-metric checks.

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Decision answers

Questions connected to this calculator.

Use a worked question when you want context before changing the inputs yourself.

What markup do I need?↗
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Profit Margin vs. Markup

Understand the difference between margin and markup, why they are not interchangeable, and how each is calculated.

Read guide →
Quick answers

About the markup calculation.

What is markup?

Markup is the amount added to cost, expressed as a percentage of cost.

Why is markup higher than margin?

For a profitable sale, cost is lower than revenue. Dividing profit by the smaller cost denominator produces a higher percentage than dividing by revenue.

How do I price for a target margin?

Use the product pricing calculator, which solves price from cost and desired margin instead of simply adding a percentage to cost.

Can markup be negative?

Yes. If selling price is below cost, the calculation produces a negative markup.