Margin Calculator – Calculate Profit Margin, Revenue & Profit Online

What is a Margin Calculator?

A Margin Calculator is a free online tool that helps businesses, freelancers, and e-commerce sellers quickly determine profit margin, revenue, and profit. By entering the cost price and desired profit margin percentage, the calculator automatically computes the selling price (revenue) and the profit amount. This ensures accurate pricing and profitability analysis.

Why Profit Margin Matters

Profit margin is one of the most important financial indicators for any business. It shows how much profit you make from every sale after covering the cost of the product or service.

• High margin → More profit per sale, but may reduce competitiveness if prices are too high
• Low margin → Lower profit per sale, but can attract more customers due to competitive pricing

Formula Used in the Margin Calculator
Revenue = Cost ÷ (1 - (Margin ÷ 100))
Profit = Revenue - Cost

Benefits of Using the Margin Calculator

• Quick and accurate – Instant calculation of revenue and profit
• Smart pricing – Helps set competitive and profitable selling prices
• Decision-making tool – Compare different margin scenarios easily
• Time-saving – No manual math or spreadsheets required

How to Use the Margin Calculator

1. Enter Cost Price – Input the purchase or production cost of the product or service
2. Enter Desired Margin (%) – Add the profit margin percentage you want to achieve
3. View Results – The calculator shows:
   • Revenue (Selling Price)
   • Profit Amount

Example Calculation

Cost Price: ₹20,000
Margin: 6%

Step 1: Calculate Revenue (Selling Price)
Revenue = 20,000 ÷ (1 - 0.06) = ₹21,276.6

Step 2: Calculate Profit
Profit = 21,276.6 - 20,000 = ₹1,276.6

Final Results:
Revenue (Selling Price): ₹21,276.6
Profit: ₹1,276.6

When to Use a Margin Calculator

• E-commerce businesses setting product prices
• Freelancers and consultants calculating service charges
• Retailers and wholesalers are balancing cost vs. selling price
• Manufacturers evaluating product profitability
• Startups planning business models and pricing

Final Thoughts
The Margin Calculator is an essential tool for businesses and individuals who want to maximize profitability while staying competitive. It saves time, improves accuracy, and helps make smarter financial decisions. Use the free online Margin Calculator today to calculate your selling price, profit, and revenue instantly.

User Guide / Manual for Margin Calculator

Step 1: Open the Tool

Navigate to Financial Calculators → Margin Calculator.

Step 2: Enter Inputs

• Cost Price: Enter the cost of the product or service
• Margin (%): Input your desired profit margin

Step 3: Review Results

• Revenue: The selling price needed to achieve the margin
• Profit: The actual profit you will earn after covering the cost

Step 4: Adjust and Compare

Change the margin percentage to test different scenarios and choose the best pricing strategy.