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Goodfolk Business Utilities

Profit Margin Calculator

Calculate profit, profit margin, markup, and total cost from revenue and expenses.

Use this to estimate whether a product, service, project, or client job is actually profitable after direct and indirect costs.

Margin estimate

Revenue$1000.00
Total costs$700.00
Profit$300.00
Profit margin30.00%
Cost percentage70.00%
Markup42.86%
StatusStrong margin
Profit margin shows profit as a percentage of revenue. Markup shows profit as a percentage of cost.

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Frequently Asked Questions

What is profit margin?

Profit margin is the percentage of revenue that remains as profit after all costs are subtracted. It shows how much of each dollar earned is actual profit.

What is markup?

Markup is the percentage added to the cost price to determine the selling price. It shows how much more than the cost you are charging.

What is a good profit margin?

A good profit margin varies by industry, but generally, a margin above 20% is considered healthy. Margins below 10% may indicate a thin margin business.