NodusTech
Free Business Tools

Product Pricing Calculator

Add up your real costs, choose whether your target percentage is a margin or a markup, and get a recommended selling price.

Is your target percentage a margin or a markup?

Margin is profit as a share of your selling price. Markup is profit as a share of your cost. The same target number gives a different selling price depending on which one you mean — pick the one you actually have in mind.

How to read your result

The calculator adds up every cost you enter, then works backward from your target margin or markup to a recommended selling price. Both the resulting margin and markup are shown, since they answer different questions from the same price.

Worked example

A product costs €8 in materials, €4 in labour, €1.50 in packaging and €2.50 in allocated overhead — a total cost of €16. Targeting a 40% margin: selling price = €16 ÷ (1 − 0.40) = €26.67. Profit per unit = €26.67 − €16 = €10.67, which is also a 66.7% markup on cost.

Formula

Total cost = Material + Labour + Packaging + Other variable + Overhead

Selling price (margin target) = Total cost ÷ (1 − Target margin %)

Selling price (markup target) = Total cost × (1 + Target markup %)

Good to know

A target margin must be below 100% — at 100% or above, no finite price produces that margin. If your allocated overhead is a rough guess, revisit it periodically as your costs and sales volume change, since it directly moves every price this calculator recommends.

Frequently Asked Questions

What costs should I include?+

Every cost that a unit genuinely carries: materials, labour, packaging, and a fair share of overhead (rent, software, insurance) allocated per unit. Leaving out overhead is one of the most common reasons a "profitable" price actually isn't.

Should I price to a margin or a markup?+

Whichever you actually have a target for. Margin is profit as a share of your selling price; markup is profit as a share of your cost — the same target number produces a different price depending on which you mean, so this calculator shows both.

Why does the calculator show both margin and markup?+

So you can see the other figure regardless of which one you targeted — useful when a supplier, partner or platform quotes their expectations using the other measure.

Is my data saved or sent anywhere?+

No. The calculation runs entirely in your browser and nothing you enter is stored or transmitted.

This calculator is provided for general information only and is not accounting, tax or financial advice.