How this calculator works
Use this calculator to set a selling price that covers direct cost, overhead, and your target profit margin. It is useful for products, services, ecommerce listings, and small business pricing decisions.
Break-even price = cost × (1 + overhead %)
Target price = break-even price ÷ (1 − desired margin)
Target price = break-even price ÷ (1 − desired margin)
Margin and markup are different. This calculator targets margin, so the profit percentage is measured against the final selling price.
How to use this calculator
- Enter realistic values that match your current situation.
- Press Calculate to refresh the estimate.
- Compare the main result with the supporting details in the result panel.
- Change one input at a time to see which variable affects the result most.
Planning note: Pricing Calculator gives an educational estimate. It does not include every tax rule, fee, platform policy, market condition, or personal constraint, so use it as a quick planning reference rather than a final decision.
FAQ
How do I calculate a selling price?
Start with cost, add overhead, then divide by one minus the desired profit margin.
Should overhead be included in pricing?
Yes. Overhead helps cover software, rent, labor, packaging, admin, and other indirect costs.
What is break-even price?
It is the minimum price needed to cover cost and overhead before profit.
What is a good profit margin?
It depends on industry. Digital products and services often have higher margins than physical goods.
Is margin the same as markup?
No. Margin is based on selling price, while markup is based on cost.