Profit Margin Calculator
Estimate profit and margin after product cost, percentage selling fees, delivery charges and other expenses you enter.
Enter one sale and its costs
- Enter product cost and selling price using the same currency and quantity basis, such as one item or one complete order.
- Enter a percentage selling fee if it is charged on the selling price. Leave it blank if none applies.
- Add delivery, packaging or other costs that you pay. Use + Add another expense for separate amounts and Remove to discard an extra row.
- Select Calculate Profit and check the breakdown.
Selling price must be greater than zero. Costs must be non-negative. Do not enter the same charge in both the percentage field and another expense field.
Worked sale: 100 cost, 150 selling price
With a 5% selling fee and 23 delivery expense, the fee is 150 × 5 ÷ 100 = 7.50. Total entered costs are 100 + 7.50 + 23 = 130.50. The remaining profit is 19.50, and the profit margin is 19.50 ÷ 150 × 100 = 13%. Add packaging of 2 and profit falls to 17.50, with an 11.67% margin.
Profit, margin and markup mean different things
Profit = selling price − product cost − percentage fee − all other entered expenses. Margin divides that profit by the selling price. Markup divides a profit amount by a cost base instead, so the percentages are not interchangeable. This tool displays margin. A negative result means the entered sale loses money.
The percentage field is not a VAT return
The field deducts a percentage of the selling price. It does not extract VAT from an inclusive price, offset input VAT, or apply marketplace-specific fee rules. For example, the VAT portion of 115 at an illustrative 15% rate is 15, not 17.25. Use the VAT Calculator to separate included VAT and keep your cost and revenue figures on a consistent basis.
Profit calculation questions
What happens when optional costs are blank?
They count as zero. The estimate includes only the expenses you supply.
Is this the final profit of my business?
No. The result covers this sale and the entered costs. Overheads, returns, income tax and other unentered expenses are excluded.
What if the buyer pays delivery?
Include the amount you receive in revenue and the delivery charge you pay as an expense, using a consistent order basis. Check which amount your platform actually uses to calculate its percentage fee.
Can I compare two selling prices?
Yes. Keep the costs the same, change the selling price and calculate again. Record each result before changing the inputs; this page does not keep a comparison history.
Related calculation
Use the Percentage Calculator for a standalone percentage amount. Profit calculations run locally in your browser and are estimates based on your inputs.