📈 Profit Margin Calculator
Calculate your gross profit margin, net profit margin, markup percentage, and break-even point for any project or your overall business.
Advertisement 728×90
Revenue & Costs
$
Cost Breakdown
$
Materials, subcontractors, direct labor for this job.
$
Your share of rent, software, insurance, admin costs allocated to this period.
$
Optional: include estimated taxes to see true net profit.
Break-Even Analysis
$
%
% of revenue that are variable costs.
Gross Profit Margin
—
Enter revenue and costs to calculate
Enter your revenue and costs to see your profit margins.
For educational purposes. Actual margins depend on your specific cost structure and tax situation.
📊 Industry Margin Benchmarks
Consulting / Professional Services60–80% gross
Software / SaaS70–90% gross
Creative Services (Design, Writing)50–75% gross
Construction / Trades20–40% gross
Retail / Product Sales25–50% gross
Food Service / Catering15–35% gross
Markup vs. Margin — What's the Difference?
These two terms are often confused but mean very different things when pricing your work:
Margin vs. Markup Explained
| Concept | Formula | Example ($1,000 project, $600 cost) |
|---|---|---|
| Gross Profit | Revenue − COGS | $1,000 − $600 = $400 |
| Profit Margin | Gross Profit ÷ Revenue × 100 | $400 ÷ $1,000 = 40% margin |
| Markup | Gross Profit ÷ COGS × 100 | $400 ÷ $600 = 66.7% markup |
| ⚠️ A 50% markup is NOT a 50% margin. A 50% markup gives a 33% margin. Always clarify which metric you mean when negotiating. | ||
Hourly Rate Calculator
Price your services to hit your margin targets.
Net Income Calculator
See your true take-home after taxes.
Invoice Generator
Create professional invoices for profitable projects.
Advertisement 728×90