What's a good profit margin?

Depends on the industry, but as a universal benchmark: under 10% is danger, 10–20% is surviving, 20–35% is healthy, above 35% is premium. Retail typically runs 8–15%, services 25–45%, digital products 60–85%. Use the universal range to check health, and industry benchmarks to calibrate goals.

Why is my real margin different from what I calculate?

Because you probably only count direct cost. Real margin deducts everything: allocated overhead per unit, sales tax, card fee, marketplace cut, sales commission, bad debt. Each takes 2 to 8%, and combined they pull 15 to 40% off your price.

Is my data saved? Do I need to register?

No registration needed. Data stays in your browser (localStorage). If you close the tab it's gone, but you can save the screen or come back to recalculate anytime.

Can I use it for service, product, and cohort businesses?

Yes. The margin logic is the same. Only the cost composition changes. For services, labor is the main cost. For products, materials. For cohorts/courses, edition cost divided by attendees.

What's the difference between this and the Pricing Calculator?

Pricing Calculator takes your costs and tells you what to charge (forward). This Margin tool takes the price you ALREADY charge and shows your real margin (reverse). Use Pricing when you don't have a price yet; use Margin when you already charge and want to know if you're actually making money.

AM I MAKING MONEY?

You charge a price. How much actually stays in your pocket?

Enter your price, enter your cost, then check what you forgot (sales tax, card fee, sales commission, marketplace fees, payroll burden). Watch your real margin drop live. Most owners think they have 25%, and find out they have 7%.

Calculate my real margin →

✓ 3-minute calculation✓ No signup✓ Instant diagnosis

Real profit margin fools almost every business owner

Three reasons why your back-of-the-napkin math is lying to you.

You think your margin is fine…

…but you've never actually added everything up. Materials, labor, allocated overhead, sales tax, card fees, marketplace cuts, sales commissions. Each one eats a slice.

Quick math lies

Subtracting direct cost from price and calling that margin is the most common mistake. Real margin is what's left AFTER everything. Usually half what it looks like.

And the worst part: you don't know how much

Without knowing your real margin, you don't know if you can discount, invest in ads, or hire. You're flying blind.

How it works

3 steps. 3 minutes.

Enter your price

Current selling price. Can be list price or average price after typical discounts.

Enter your cost

Total cost that comes out of your pocket per sale. A close estimate works. You can refine it.

See your real margin

Check the costs you forgot (card, marketplace, payroll burden…) and watch the margin drop until you see the truth.

Important notice: Educational real-margin calculation based solely on user-provided inputs. Not accounting, tax, or financial advice. Tax rates and fees vary by country, tax regime, and contract — confirm with your accountant before decisions that affect third parties.

Profit Calculator

Enter your price, enter your cost, and find out what's REALLY left.

You can save up to 5 different calculations: one per product, service, or client.

How much do you charge?

How much does it cost you?

The amount that leaves your pocket to deliver one sale.

Save your progress

Your data lives in the browser. To access from another device or keep it safe, save with your email.

One honest analysis per month. Zero bullshit. Zero selling.

PROFIT STATEMENT

Enter the price you charge and the cost. Your real margin appears here.

Articles on Real Margin

Comparison5 min