How markup works
Selling price = Cost × (1 + Markup% ÷ 100)
Example: a bag of beans costs $14.00. With a 60% markup you'd sell it for $22.40, making $8.40 profit.
Watch the margin trap
Markup and margin are not the same. A 60% markup is only a 37.5% margin, because margin is measured against the selling price, not the cost. This calculator shows you both so you always know what you're really keeping.
- 25% markup → 20% margin
- 50% markup → 33% margin
- 100% markup → 50% margin
From "what should I charge?" to "I know my numbers"
Setting prices is step one. The hard part is tracking whether those prices actually work as costs change and items sell. TallyRun does that automatically — record a sale in seconds, see your daily cash and profit, and get warned before you run out.