Markup Calculator

Add a markup to your cost to set a selling price, or work out what markup you are already charging.

Markup formula

Selling price = Cost × (1 + Markup ÷ 100) Markup % = (Selling price − Cost) ÷ Cost × 100 Margin % = (Selling price − Cost) ÷ Selling price × 100

Example

A product costs ₹400. With a 50% markup the selling price is ₹400 × 1.5 = ₹600. Profit is ₹200 per unit, which is a 33.33% margin. If you already sell it at ₹650, your markup is (650 − 400) ÷ 400 = 62.5%.

When to use markup pricing

Markup (cost-plus) pricing is simple and common in retail, wholesale, restaurants and contracting: you know your cost and add a standard percentage. Its weakness is that it ignores what customers will pay and what competitors charge. Many businesses set a target margin first and convert it to a markup, so their overheads are covered.

Keystone pricing

"Keystone" is retail shorthand for a 100% markup, meaning you double the cost. That gives a 50% gross margin.

Frequently asked questions

What markup gives a 25% margin?

A 33.33% markup. Use Markup = Margin ÷ (100 − Margin) × 100. The Markup vs Margin Calculator converts either way.

Should markup include GST?

No. Apply markup to your cost excluding GST (if you claim input tax credit), then add GST to the selling price.

Results are for planning and information only and are not accounting or financial advice. Check important figures with your accountant.