Pricing & Profit Tools

Profit Margin Calculator

Calculate gross profit margin percentage and gross profit dollars from cost and selling price.

Cost & Price

₹
₹

Profit Analysis

Gross Margin40.0%
Gross Margin40.00%
Markup Percentage66.67%
Unit Profit₹400.00

General Margin Calculator: Calculate Profit Margin for Any Sale

Find the gross profit margin percentage from any cost and selling price with this free margin calculator.

What Is Profit Margin?

Profit margin is the percentage of the selling price that is profit. Margin equals (selling price minus cost) divided by selling price, times 100.

It shows how much of every rupee of revenue is kept as profit after covering the cost.

Why Track Profit Margin?

Margin tells you the profitability of each sale relative to the price charged. A high-margin product contributes more profit per rupee of revenue.

Understanding margin by product or service helps you focus on your most profitable offerings.

Margin vs Markup

Margin is profit as a percentage of selling price. Markup is profit as a percentage of cost. Margin is always lower than markup for the same transaction.

A 50% markup equals a 33.3% margin. Use the margin vs markup calculator on Tez Invoice to compare.

Margin Benchmarks

Software and digital: 50-80%. Professional services: 30-50%. Retail: 10-40%. Food and hospitality: 3-9%.

Compare your margin to industry benchmarks to understand your competitive position.

Margin and Pricing Decisions

Know your minimum acceptable margin for each product before discounting. Avoid going below this floor.

The selling price calculator on Tez Invoice helps you find the price needed to hit any target margin.

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Frequently Asked Questions

Common questions about General Margin Calculator: Calculate Profit Margin for Any Sale on Tez Invoice.

What is profit margin?

(Selling price minus cost) divided by selling price, times 100.

How do I calculate profit margin?

Subtract cost from selling price, divide by selling price, multiply by 100.

What is the difference between margin and markup?

Margin uses selling price as the base. Markup uses cost. Margin is always lower than markup.

What is a good profit margin?

Retail: 10-40%. Services: 30-50%. Software: 50-80%.

Is this tool free?

Yes. Free with no sign up.

Does this work on mobile?

Yes. Fully responsive.

Is my data stored?

No. In-browser only.

Can I use this for business?

Yes.

Where can I create invoices?

Use the free Invoice Generator on Tez Invoice.