Selling Price Calculator
Work out the selling price needed to earn your target profit margin on a given cost.
- Profit per unit
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What is the Selling Price Calculator?
This calculator finds the selling price you need to reach a target profit margin on a given cost. Enter the cost and the margin you want, and it returns the price and the profit per unit, so you can price products without guessing.
How it works
Selling price equals cost divided by one minus the margin divided by 100. Profit equals the selling price minus the cost. For a cost of 60 and a target margin of 40 per cent, the price is 100 and the profit is 40. A margin of 100 per cent or more is not possible.
How to use it
- Enter your cost per unit.
- Enter the margin percentage you want to earn.
- Read the selling price and profit per unit.
Selling Price Calculator — FAQ
Is margin the same as markup when I price?
No. Margin is a share of the selling price. If you simply add the margin percentage to the cost, you will earn less than you planned.
Why does it show zero for a margin of 100 per cent?
A 100 per cent margin would need an infinite price, so the tool returns zero for margins of 100 or more.
Should I add GST before using this?
Price first with this tool, then add GST on top. Do not include tax in the cost unless it cannot be claimed back.