English

Language

Start free
RecruitingJob offers, applications and CV databaseHuman ResourcesEmployees, time off and timesheetsAccountingSales invoices, quotes and bankProjectsProjects, tasks and time trackingSalesDeals, follow-ups and contacts
Pricing Help center About Contact
Sign in
Dark mode
Free tool · Pricing

Free pricing & margin calculator

Know what to charge. See what you keep. Turn your costs into a price you can explain.

  • Free, no account
  • Stays in your browser

Work out your price

One product, one service or one project. Use the same basis for every amount.
1
Your costEnter the direct cost of delivering one unit of work or goods.
Include materials and direct labour. Keep VAT or sales tax out of both amounts.
2
Your priceChoose a target margin, or enter the price you already charge.
Margin is the share of your selling price left after the cost entered above.

Example: a cost of 60 and a target margin of 40%. Replace these values with your own.

Profit here means selling price minus the cost you entered. It is not your business’s net profit: overheads and income tax may still need to be paid.

Margin and markup: what is the difference?

Updated · By the Skileo team

Margin measures profit as a share of selling price. Markup measures the same profit as a share of cost. They use different denominators, so the percentages are not interchangeable. On a cost of €60 and a price of €100, profit is €40: the margin is 40%, while the markup is 66.67%.

Margin, markup and selling price formulas
MeasureFormulaExample: cost €60, price €100
ProfitSelling price − cost€100 − €60 = €40
MarginProfit ÷ selling price × 100€40 ÷ €100 × 100 = 40%
MarkupProfit ÷ cost × 100€40 ÷ €60 × 100 = 66.67%
Price from target marginCost ÷ (1 − margin ÷ 100)€60 ÷ (1 − 0.40) = €100
Accounting

A price is the start. Skileo handles what comes next.

Send a quote your client accepts online. Turn it into an invoice without typing it again, and let them pay it online.

Quotes clients accept onlineYour client accepts or rejects the quote on its own page. You see which.
Online paymentConnect Stripe, and clients pay the invoice by card.
Paid, due, overdueOne list shows who has paid and who needs a nudge.

How to calculate your price in three steps

  1. 1Add your costChoose a currency and enter the cost of one product, service or project. Count direct materials and labour on the same basis as your selling price.
  2. 2Set a margin or check a priceUse “Find a selling price” to work backwards from a target margin. Switch to “Check a margin” to evaluate a price you already charge.
  3. 3Review and use your resultCompare the profit, margin and markup. Copy the figures, then use the free quote generator or create a quote in Skileo.

A practical pricing check before you send a quote

  1. Count your own timeA service can look profitable when materials are cheap but delivery takes hours. Include the direct labour cost of the work, even when you do it yourself. Keep your cost per hour separate from the rate you charge the client.
  2. Leave room for running the businessRent, software subscriptions and time spent finding clients still need to be covered. A positive result here does not prove the business is profitable. Review those expenses separately when deciding whether a target margin is enough.
  3. Check the price after a discountIn check mode, enter the actual discounted selling price. For example, a cost of €60 and a price of €100 give €40 profit. Discount the price by 10% to €90 and profit falls to €30, a 25% drop in profit.
  4. Compare like with likeUse cost and price for the same quantity and scope. Do not compare the cost of a whole project with an hourly rate. If a client asks for extra revisions or faster delivery, update the cost before agreeing to the price.
  5. Revisit the estimate after deliveryCompare the cost you expected with the work actually delivered. Repeated overruns are a reason to adjust your scope, process or next quote. Keep the assumptions behind each price so you can explain them later.

Free tools for your business

Business proposal builderPresent your approach, scope and price in a clear PDF.Open the toolFreelance day rate calculatorSet a day rate that covers your goals and time off.Open the toolService pricing calculatorTurn time, expenses and overheads into a service price.Open the toolInvoice generatorCreate a clear PDF invoice with tax lines, payment details and the balance due.Open the toolBreak-even calculatorFind the sales volume needed to cover your costs and check a forecast.Open the toolPayment reminder generatorWrite a clear invoice follow-up, from a friendly nudge to a firm reminder.Open the toolQuote generatorYour business, your client, your items: a clean PDF quote in two minutes.Open the toolProject budget estimatorPlan hours, expenses and a contingency allowance before you commit.Open the tool

Questions about pricing and profit margins

Is this pricing and margin calculator free?

Yes. Both calculation modes are free, with no account or usage limit. Calculations run in your browser, and your inputs are saved on this device only.

How do I calculate a selling price from a profit margin?

Divide your cost by one minus your target margin expressed as a decimal. For a cost of €60 and a target margin of 40%, calculate 60 ÷ (1 − 0.40) = €100. Adding 40% to the cost would give €84, which is a markup calculation, not a 40% margin.

Is 50% markup the same as 50% margin?

No. A cost of €100 with a 50% markup gives a selling price of €150 and a margin of 33.33%. A 50% margin on that cost requires a price of €200, equivalent to a 100% markup.

What is a good profit margin for a small business?

There is no single target that suits every business. Your costs, overheads, capacity and market affect the price you need. Use this calculator to compare possibilities, then check whether the remaining profit can cover the expenses not included in your cost.

Does the calculator include VAT or sales tax?

No. Enter cost and selling price on a consistent basis before VAT or sales tax. The calculator does not determine tax treatment or rates. Currency selection changes how amounts are displayed; it does not convert exchange rates.

Is the result gross profit or net profit?

The result is selling price minus the cost you enter. If you enter the direct cost of goods or services sold, it represents gross profit for that unit. It is not a calculation of business net profit, which also accounts for other expenses.

Why can I not use a target margin of 100%?

With a positive cost, a 100% target margin would require division by zero, so there is no finite selling price. In check mode, a zero cost and a positive price give a 100% margin, but markup is undefined because its denominator is zero.

Have a question? Talk to us.

You have your price. Now win the work.

Create a quote your client accepts online, then turn it into an invoice in Skileo.

No credit card needed No time limit on the Free plan.