Profit margin calculator with markup and fees
Enter what an item costs and what you sell it for to get your profit margin and markup, or pick a target margin and get the price to charge. A $12 item sold at $30 has a 60% margin and a 150% markup. Add eBay, Etsy, Amazon or Shopify fees, shipping and ads to see the margin you actually keep.
Profit margin calculator
How to use it
Get your margin in four steps
Every box updates the result at once, so you can try prices until the margin looks right.
Choose what to work out
Your margin from a cost and a price, the price for a target margin, the price for a markup, or the most you can pay for an item and still keep your margin.
Enter your cost
Use the landed cost per item: what you paid for it plus inbound shipping and duties. Leave out costs you pay per order; those go in the next step.
Add your selling costs
Pick where you sell to fill in its fees, then add the shipping label you pay, packaging and ad spend. The target margin then means what you keep after all of it.
Read the result
Gross margin and markup show the item alone; net profit, net margin and the break-even price include every selling cost. Copy the link to save or share the numbers.
The formulas
Margin vs markup: same profit, two percentages
Both measure the same profit. Margin divides it by the selling price, so it is the share of each sale you keep. Markup divides it by the cost, so it is how much you add on top of what you paid. Because the price is always bigger than the cost when you make a profit, the margin is always the smaller number.
The $12 item sold at $30 makes $18 profit: 60% of the price, and 150% of the cost. Mixing the two up is a common pricing mistake: a 30% markup on a $70 item gives a price of $91 and only a 23.1% margin. A real 30% margin needs a price of $100.
Profit = price − cost
Margin = profit ÷ price
Markup = profit ÷ cost
Markup = margin ÷ (1 − margin)
Margin = markup ÷ (1 + markup)
Price for a margin = cost ÷ (1 − margin)
Price for a markup = cost × (1 + markup)Margin to markup
Margin and markup conversion table
The markup you need for each margin, and the price and profit on an item that costs $10.
| Margin | Markup | Price on a $10 cost | Profit |
|---|---|---|---|
| 10% | 11.1% | $11.11 | $1.11 |
| 15% | 17.6% | $11.76 | $1.76 |
| 20% | 25% | $12.50 | $2.50 |
| 25% | 33.3% | $13.33 | $3.33 |
| 30% | 42.9% | $14.29 | $4.29 |
| 35% | 53.8% | $15.38 | $5.38 |
| 40% | 66.7% | $16.67 | $6.67 |
| 45% | 81.8% | $18.18 | $8.18 |
| 50% | 100% | $20.00 | $10.00 |
| 60% | 150% | $25.00 | $15.00 |
| 70% | 233.3% | $33.33 | $23.33 |
| 75% | 300% | $40.00 | $30.00 |
| 80% | 400% | $50.00 | $40.00 |
Pricing with fees
How to price for a margin after fees
Marketplace fees are a percentage of the price, so they grow when you raise it. Adding them to your cost and then applying your margin comes out too low. Take the fee percentage and your margin off the price together instead: divide your costs by what is left of each dollar.
An item that costs $20 with a $6 shipping label needs $28.57 for a 30% margin before fees. On eBay, at 13.6% plus $0.40 per order, the same 30% after fees and shipping needs $46.81.
The break-even price is the same formula with a margin of zero: the lowest price at which a sale costs you nothing. Below it, every sale loses money, even before your time and overheads.
Price = (cost + fixed fee + shipping + other) ÷ (1 − fee % − ad % − margin)
Break-even price = (cost + fixed fee + shipping + other) ÷ (1 − fee % − ad %)
Most you can pay = price × (1 − fee % − ad % − margin) − fixed fee − shipping − otherFees by marketplace
What a $50 sale leaves you on each platform
An item that costs $20, sold for $50 with a $6 shipping label you pay. Standard US seller fees for one common category, checked October 2026; the presets in the calculator use the same rates. Per-sale fees only: monthly plans such as Amazon Professional or Shopify are left out.
| Where you sell | Fee | Fees on $50 | Net profit | Net margin | Price for 30% net |
|---|---|---|---|---|---|
| eBay (most categories, no Store) | 13.6% + $0.40 | $7.20 | $16.80 | 33.6% | $46.81 |
| Etsy | 9.5% + $0.45 | $5.20 | $18.80 | 37.6% | $43.72 |
| Amazon Professional (15% categories) | 15% | $7.50 | $16.50 | 33% | $47.27 |
| Amazon Individual (15% categories) | 15% + $0.99 | $8.49 | $15.51 | 31% | $49.07 |
| Walmart Marketplace (15% categories) | 15% | $7.50 | $16.50 | 33% | $47.27 |
| Shopify Payments (Basic plan) | 2.9% + $0.30 | $1.75 | $22.25 | 44.5% | $39.20 |
| PayPal Checkout | 3.49% + $0.49 | $2.23 | $21.77 | 43.5% | $39.83 |
| Square Online | 3.3% + $0.30 | $1.95 | $22.05 | 44.1% | $39.43 |
| TikTok Shop | 6% | $3.00 | $21.00 | 42% | $40.63 |
| Poshmark | 20% | $10.00 | $14.00 | 28% | $52.00 |
| Mercari | 10% | $5.00 | $19.00 | 38% | $43.33 |
| Whatnot | 10.9% + $0.30 | $5.75 | $18.25 | 36.5% | $44.50 |
Source: eBay (most categories, no Store): OC Designs eBay fee calculator · Etsy: Etsy Fees & Payments Policy (last updated Oct 5, 2026) · Amazon Professional (15% categories): Amazon Selling Plans & Pricing · Amazon Individual (15% categories): Amazon Selling Plans & Pricing · Walmart Marketplace (15% categories): Walmart Marketplace Pricing · Shopify Payments (Basic plan): Shopify Pricing · PayPal Checkout: PayPal Merchant Fees (last updated Oct 1, 2026) · Square Online: Square: Our fees · TikTok Shop: TikTok Shop Referral Fees by Category (page dated 10/08/2026) · Poshmark: Poshmark: Get started on Poshmark · Mercari: Fees on Mercari (updated 05/07/2026) · Whatnot: Whatnot seller fees
Gross and net
Gross margin, net margin and a good margin
Gross margin is the price minus the cost of the item, as a share of the price. It is what this calculator shows before selling costs, and what a gross margin calculator works out for a whole business when you enter revenue and cost of goods sold.
Net margin takes off the costs of each sale as well: marketplace and payment fees, the shipping you pay, packaging and ads. On a business’s accounts, net margin also takes off overheads such as rent, software and wages, which this per-item calculator leaves out.
A good margin is one that covers those overheads and still leaves a profit, so it depends on your costs more than your industry. Work out your monthly overheads, divide them by the items you sell in a month, and treat that as one more cost per item. The price that still keeps a margin after it is your floor.
Questions
Profit margin questions
Something else on your mind? Call (609) 675-0912 and a real person answers.
How our projects workHow do you calculate profit margin?
Subtract the cost from the selling price to get the profit, then divide the profit by the price. An item that costs $12 and sells for $30 makes $18, and $18 ÷ $30 is a 60% margin.
What is the difference between margin and markup?
Margin is profit as a share of the selling price; markup is profit as a share of the cost. The same $18 profit on a $12 item sold for $30 is a 60% margin and a 150% markup.
How do I price an item for a 30% margin?
Divide the cost by 0.7 (1 minus 30%). An item that costs $70 needs a price of $100 for a 30% margin. If you also pay fees, choose “Price for a margin” and add your selling costs: the calculator takes the fees off before the margin.
Is a 50% markup the same as a 50% margin?
No. A 50% markup on a $10 item gives a price of $15 and a 33.3% margin. A 50% margin needs a 100% markup: the price is double the cost.
How do I convert markup to margin?
Divide the markup by 1 plus the markup: a 25% markup is 0.25 ÷ 1.25, a 20% margin. To go the other way, divide the margin by 1 minus the margin. The table on this page and the converter in the calculator do it for you.
What is gross margin?
Gross margin is revenue minus the cost of the goods sold, as a share of revenue. For one item it is the same as the margin before selling costs; for a business, enter total revenue as the price and total cost of goods as the cost.
Does the calculator include eBay, Etsy and Amazon fees?
Yes. Open “Selling costs” and pick where you sell to fill in that platform’s standard US fee, then add your shipping label, packaging and ad spend. You can type your own fee instead if your category or plan differs.
What is a break-even price?
The lowest price at which a sale costs you nothing after the item cost and every selling cost. The calculator shows it as soon as you add selling costs.
What is the most I can pay for an item?
Choose “Most I can pay”, enter the price you can sell at and the margin you want, and add your selling costs. The calculator works backwards to the highest item cost that still gives that margin, which is useful when buying stock to resell.
Is this profit margin calculator free?
Yes. It runs in your browser, needs no account, and nothing you type is sent to us. The link in your address bar holds your numbers, so you can save or share a result.
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