Pricing Calculator (Target Margin)
Know your cost and the margin you want? Get the price you need to charge.
Price to charge $125.00
- Profit per sale $50.00
- Equivalent markup 66.67%
Formula
- Price = cost ÷ (1 − target margin ÷ 100)
Frequently asked questions
Why not just add the margin percentage to the cost?
Adding 40% to cost is a 40% markup, which only gives a 28.6% margin. Divide by (1 − margin) instead.