Contractor Job Calculator
Pricing utility

Markup and margin are not the same thing.

Use this calculator to see what a markup produces as gross margin, or what selling price is required to hit a target gross margin.

AdSense placement — calculator content

Markup → margin

Target margin → required selling price

The difference in one example

If a job costs $10,000 and you add a 50% markup, the selling price is $15,000. The gross profit is $5,000, but the gross margin is only 33.3% because margin is profit divided by selling price.

To achieve a 50% gross margin on a $10,000 job cost, the selling price would need to be $20,000.

Pricing reminder: gross margin is not net profit. Overhead, B&O tax, payroll-related costs, insurance, callbacks, financing costs and other expenses can still reduce what the business keeps.