Pricing tool

Contractor markup & profit margin calculator

Enter the real cost of the job and the gross margin you want. The calculator shows the quote price, markup percentage, and gross profit so you can stop guessing.

Quote price $0
Total job cost$0
Gross profit$0
Markup on cost0%
Break-even price$0

Markup and margin are not the same number

If a job costs $1,000 and you add a 50% markup, the price is $1,500. Your profit is $500, but your margin is only 33.3% because margin is profit divided by the final price.

Price from margin cost / (1 - margin)
Markup from margin margin / (1 - margin)

Pricing FAQ

What is the difference between markup and margin?

Markup is profit divided by cost. Margin is profit divided by selling price. A 50% markup on a $1,000 job cost creates a $1,500 price and a 33.3% gross margin.

Should contractors price from markup or margin?

Margin is usually clearer because it tells you what share of the final price remains after job cost. Markup is still useful when crews think in cost-plus terms.

What should be included in job cost?

Include materials, subcontractors, labor burden, rentals, permits, disposal, and job-specific overhead. Do not hide real costs outside the calculation.