Free contractor tool
Markup ↔ Margin Converter
Markup and margin are not the same number. Translate between them instantly so you can price jobs with confidence.
Start with markup
I use X% markup → what’s my margin?
%
Your real margin
16.7%
That’s the profit left as a percentage of what you charge.
The math: margin = markup ÷ (1 + markup). A 20.0% markup becomes 16.7% of your selling price.
On a $1,000 materials cost
20.0% markup = charge $1,200.00 = $200.00 profit = 16.7% margin
Start with margin
I want Y% margin → what markup do I need?
%
Required markup
25.0%
Use this markup to keep 20.0% of your charge as profit.
The math: markup = margin ÷ (1 − margin). To keep 20.0% margin, divide by the remaining 80.0%.
On a $1,000 materials cost
20.0% margin = charge $1,250.00 = $250.00 profit = 25.0% markup
Track your real margins on every job with JobMargin
Turn estimates into live job trackers and see what you’re actually making as costs come in.
Try JobMargin freeAlso try: Labor Burden Calculator·Read our guide: Markup vs. Margin for Contractors·Change Order Generator·Service Call Pricing·Material Price Book