Example 1
90 at 40% -> 150.00 selling price.
Price from a target margin calculator
Type cost and the margin you want from the future price. Cost 80 and 25% give about 106.67. A 25% markup on that same 80 lands on 100 and leaves only 20% margin.
Margin from a ready pair: margin percent. Price from markup: price from markup. Markup itself: markup percent.
Result
Enter a value. The result shows up here.
How it works
Here you invert the margin formula. You know cost and you want profit to be a chosen slice of the price, not a slice of the purchase. Price = cost / (1 − margin/100). Cost 70 and 30% give 100, because 70 / 0.70 = 100. Cost 80 and 25% give about 106.67. Cost 90 and 40% give 150. Margin 0% leaves price equal to cost: 80 at 0% is 80.
Margin is taken from the future selling price. A 25% markup on 80 is a multiply: 80 × 1.25 = 100. On that 100 you keep 20, so the real margin is 20%. If a meeting says “we hold 25%” and they mean margin, 100 is too cheap. A 40% markup on 90 is 126. A 40% margin on 90 is 150.
Margin of 100% or more will not run: you would divide by zero or by a negative number. 99% already balloons. Margin may be negative, and then price falls below cost. Cost cannot be negative. Zero cost at a positive margin leaves price 0.
Optional VAT adds onto the computed net price. Gross = price × (1 + VAT/100). At 80, 25%, and 23% VAT, net is about 106.67 and gross about 131.20. VAT does not sit in the margin denominator. Quantity scales revenue, cost, and profit from that net price.
The amount is in the currency of the cost. 80 stays 80. A comma in 80.5 works. Skip thousand spaces.
The margin page goes backward: you have 106.67 and 80 and you read 25%. Price from markup multiplies cost by (1 + markup/100). Gross profit subtracts; it does not set a list price. Neighbour cards use mark-up, this one uses margin.
How to use
- In cost, type the purchase, for example 80. The price will use that same currency.
- In margin, type a percent of the future price, for example 25. That is not a percent added onto 80.
- Click Calculate. 80 and 25% give about 106.67. 70 and 30% give 100. 80 and 0% give 80.
- Leave VAT empty when you sell net. 23 at 80 and 25% adds tax on top of 106.67 and does not mix it into the margin.
- Leave quantity empty for one unit. 10 units will scale revenue and profit from this price.
Formula
price = cost / (1 − margin/100)
Margin < 100%. Cost ≥ 0. Mark-up multiplies by (1 + mark-up/100), not this quotient.
Price from a target margin and added VAT
Here price = cost / (1 − margin/100). 80 and 25% give about 106.67, not 100. 23% VAT adds onto that net, about 131.20 gross.
- margin
- A percent of the future price, not a percent added onto 80. 80 / 0.75 ≈ 106.67. 70 and 30% give exactly 100. 100% margin will not divide.
- mark-up
- A multiply of cost, not this quotient. A 25% markup on 80 lands on 100 and leaves only 20% margin on that 100.
- VAT
- An optional add-on to the computed net. At 80, 25%, and 23%, net stays about 106.67 and gross about 131.20. VAT is not in the margin denominator.
Real-life examples
Example 2
100 at 20% -> 125.00 selling price.
Example 3
50 at 50% -> 100.00 selling price.
Example 4
80 at 0% -> 80.00, price = cost.
Example 5
200 at 25% -> 266.67 selling price.
Example 6
70 at 30% -> 100.00 selling price.
Example 7
120 at 10% -> 133.33 selling price.
Example 8
60 at 40% -> 100.00 selling price.
Ways to use this calculator
- You set a label so that after a retailer discount you still hold 25% of price, not 25% of purchase.
- You check what a service must cost when you know the hour and a chain asks for 30% margin.
Frequently asked questions
What price comes from cost 80 and 25% margin?
About 106.67. 80 / 0.75. That is not 100. One hundred is a 25% markup on 80.
What do I get from 70 and 30%?
100 exactly. 90 and 40% give 150. 100 and 20% give 125. 50 and 50% give 100.
Why is 25% on 80 not 100?
Because 25% is of the future price, not of the purchase. 100 at cost 80 is 20% margin. A 25% markup lives on the next card.
What happens at a 100% margin?
The calc will not run. 1 − 1 = 0, and we do not divide by zero. 99% already balloons.
Is 0% margin fine?
Yes. Price returns to cost. 80 and 0% is 80. You sell at purchase.
How does 23% VAT enter 80 and 25%?
Net first, about 106.67. Then gross × 1.23, about 131.20. VAT does not change the 25% margin itself.
Will a negative margin price below 80?
Yes. Margin −10% at 80 is about 72.73. Negative cost will not run.
What currency is 106.67 in?
The same one you typed for 80. The header symbol only labels the amount.
Does a comma in 80.5 work?
Yes. 80.5 and 80,5 are the same cost. Skip thousand spaces.
Where do I check what percent 106.67 and 80 already are?
On the margin page. There the pair gives 25%. Here you go from cost to price.
Knowledge sources
Price from margin is cost / (1 − margin). This is arithmetic, not a valuation.
Page updated in 2026.