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Tools

Margin & Markup Calculator

Profit per unit, margin vs markup, and the GST-inclusive invoice price — the three numbers every pricing decision needs.

Inputs (per unit ₹)

Result

Profit per unit
₹250
Margin (profit ÷ selling price)
33.3%
Markup (profit ÷ cost price)
50.0%
Total profit on 100 units
₹25,000
GST @ 18% on sale
₹135
Invoice price per unit (incl. GST)
₹885

Margin and markup are different numbers on the same profit: a 50% markup is only a 33% margin. Quoting the wrong one is the most common pricing mistake in trading and manufacturing.

Not sure your prices are covering your costs?

A monthly MIS shows product-wise margin from your actual books. Send your number — a named person replies on WhatsApp.

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Frequently asked

What is the difference between margin and markup?+

Markup is profit as a percentage of cost; margin is profit as a percentage of the selling price. A 50% markup equals a 33.3% margin — quoting one when you mean the other silently misprices your catalogue.

Should GST be part of my margin?+

No. GST you charge is collected for the government, not earned — compute margin on the pre-GST selling price, then add GST to reach the invoice price.

What margin should an MSME target?+

It varies by industry: trading commonly runs 8–20% net, manufacturing 10–25% gross after job-work costs, D2C brands need 60%+ gross to survive marketing costs. Your P&L, not a rule of thumb, should decide — that is MIS work we do monthly for clients.

Does this handle inclusive pricing?+

Enter your pre-GST selling price; the tool shows the GST-inclusive invoice price. If you only know the inclusive price, divide it by 1 + rate (e.g. ÷1.18 at 18%) to get the base first.

Know your real margins, every month.

Bookkeeping with product-wise MIS — so pricing decisions come from your books, not gut feel.

  • Reply within one working hour on WhatsApp
  • Fixed monthly fee, agreed before any work starts
  • No lock-in — month to month, 15 days’ notice

Request a callback

Two fields and you are done. We reply on WhatsApp within one working hour, Mon–Fri 10:00–19:00 and Sat 10:00–14:00 IST.

or message us on WhatsApp instead →
The Consulting Crew

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