01 — Ranking
Other free options, ranked
Google Sheets / Excel
sheets.google.com
4.6A spreadsheet with one formula per column gives you margins for your whole catalog.
- Best for
- Calculating margins for dozens or hundreds of SKUs at once and tracking them over time.
- Free plan & limits
- Google Sheets is free with a Google account. Use =(C2-B2)/C2 for margin and =(C2-B2)/B2 for markup, formatted as a percentage. It takes setup, and formula mistakes are easy to miss.
Omni Calculator (Margin)
omnicalculator.com
4.4Margin calculator that solves for any missing value.
- Best for
- Working backward from any two known values, for example revenue and margin to find cost.
- Free plan & limits
- Free, with no account needed. The site shows ads. It handles one product at a time.
Shopify Profit Margin Calculator
shopify.com
4.1Shopify's free margin tool, with explanations written for merchants.
- Best for
- New store owners checking a single product price.
- Free plan & limits
- Free, with no account needed. Basic inputs only (cost and price), so it doesn't cover fees or target pricing. The page also promotes Shopify plans.
Calculator.net Margin Calculator
calculator.net
4.0Simple calculator that converts between margin, markup, cost and revenue.
- Best for
- Quickly converting between margin and markup.
- Free plan & limits
- Free and needs no account. The site shows ads, and the interface is dated.
02 — Comparison
Side by side
Scroll sideways to see every tool. The first column stays pinned.
| Feature / Criterion | This calculator | Google Sheets | Omni Calculator | Shopify tool | Calculator.net |
|---|---|---|---|---|---|
| Margin and markup together | Yes | Yes (2 formulas) | Yes | Yes | Yes |
| Price for a target margin | Yes | Yes (formula) | Yes | No | Yes |
| Total profit for a quantity | Yes | Yes | No | No | No |
| Bulk SKUs | No | Yes | No | No | No |
| Ads | No | No | Yes | No | Yes |
| Account required | No | Yes (Google) | No | No | No |
03 — Guide
How to calculate profit margin step by step
Work out your landed cost per unit
Add the product cost plus inbound shipping, duties, packaging and labels. If you only use the factory price, your margin looks 5–15 percentage points better than it really is.
Enter cost and selling price
Use the price you actually receive after typical discounts, not the list price. A $40 product sold at 20% off is $32 for margin purposes.
Read margin and markup correctly
Margin is a share of revenue, while markup is a share of cost. A 50% markup is only a 33.3% margin. Mixing them up is the most common reason products end up priced below target.
Subtract variable selling costs
Payment processing (about 2.9% + $0.30 per order), marketplace fees, shipping you cover and ad cost per sale all reduce the real margin. Use the eBay, Shopify or Amazon FBA calculators for channel-specific fees.
Set the price from a target margin
Price = cost ÷ (1 − target margin). For a 50% margin on a $25 cost, price = 25 ÷ 0.5 = $50. Then check the result against competitor prices before you publish it.
04 — FAQ
Common questions
What is the difference between profit margin and markup?
Margin divides profit by the selling price, while markup divides profit by the cost. For a $25 product selling at $40, the profit is $15: the margin is 15 ÷ 40 = 37.5% and the markup is 15 ÷ 25 = 60%. Margin can never reach 100%, but markup can be any size.
What is a good profit margin for an online store?
It varies a lot by category. Many direct-to-consumer brands aim for gross margins of 50–70% to cover ads, returns and overhead. Resellers of branded goods often work with 20–35%. What matters is the margin left after fees, shipping and acquisition cost, not only the gross margin.
How do I calculate the selling price from a desired margin?
Divide the cost by (1 − margin as a decimal). For example, for a $12 cost and a 60% target margin: 12 ÷ 0.4 = $30. Multiplying the cost by 1.6 instead would give only a 37.5% margin.
Is this profit margin calculator really free?
Yes. It runs entirely in your browser, with no account, no ads and no limit on how many calculations you run. Nothing you type is sent to a server.
What should I use if I need advanced features?
For a whole catalog, use a spreadsheet, or Shopify's built-in profit reports (cost per item plus analytics) on paid plans. Inventory tools such as Inventory Planner, or accounting software such as QuickBooks or Xero, track margins per SKU automatically from your sales data.
Scores reflect our own assessment of free-tier value. Prices and limits change, so check them on each provider's site before you buy.