KEVOS® WORKOS · Money
Margin and Markup
What margin are you actually making?
Converts a cost and price into gross profit, gross margin (on price) and markup (on cost).
Open the calculatorRuns in your browser. No account needed.
How this tool works
Inputs, units and where to find them
| Input | Unit | Typical source |
|---|---|---|
| Total cost / unit | $ | Total unit cost from costing or the quote build-up |
| Selling price / unit | $ | Selling price per unit, excluding GST |
Method and formulas
- Gross profit = price − cost
- Gross margin = gross profit ÷ price
- Markup = gross profit ÷ cost
Limitations
- Only as complete as the cost entered
- Margin bands (30% and 10%) are general guides, not your pricing policy
Typical uses
- Checking product or job profitability
- Explaining margin versus markup
- Reviewing price lists
Who it is for
- Sales and estimating staff
- Business owners
What you get
- Margin band (healthy, thin, very low or loss)
- Gross profit, margin and markup
Interpreting the result
- A 30% markup is only a 23% margin; state which one you mean
- Compare with your pricing policy for the product or customer
WORKOS tools are screening and decision-support utilities. Verify important financial, engineering, safety, legal or operational decisions using appropriate professional standards and your organisation’s approved data.