Contractor Markup Calculator
Figure out exactly what to charge on your next job. Enter your cost and your markup percentage, and instantly see your selling price, gross profit, and the true profit margin most contractors confuse for markup.
Markup & Margin
Everything the job costs to deliver — materials, labor, subs, equipment. No overhead or profit here.
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How to use this calculator
How to Use This Tool
Enter your job cost
This is everything the job costs you to deliver — materials, labor, subcontractors, equipment rentals, and any direct job expenses. Don't add overhead or profit here; those come next.
Enter your markup percentage
Markup is the amount added on top of cost. A 50% markup on a $1,000 job adds $500, for a $1,500 selling price. Most trades run somewhere between 15% and 75% depending on the trade and market.
Read your selling price and gross profit
Selling price is what you quote the customer. Gross profit is selling price minus cost. The margin shown is your profit as a percentage of the selling price — the number that actually tells you how healthy the job is.
Compare markup vs. margin
A 50% markup is NOT 50% margin — it's 33%. This calculator shows both so you never accidentally underprice a job thinking you're making more than you are.
The numbers behind your pricing
Markup and margin are the two numbers every contractor should be able to recite cold, yet they're constantly confused — and that confusion quietly drains profit off every quote. Markup is the percentage you add to your cost to arrive at a selling price. Margin is the percentage of the selling price that's left over as profit after cost is removed. Same dollars, different denominators, and the gap between them widens as markup grows.
A 25% markup produces a 20% margin. A 50% markup produces a 33% margin. A 100% markup produces a 50% margin. Notice that doubling your markup does not double your margin — because margin is measured against the larger selling-price number, not the smaller cost number. This is why a contractor who 'marks everything up 50%' and assumes they're keeping half is actually keeping a third.
Use this calculator to quote consistently and to sanity-check jobs before you commit. A common pattern: a contractor marks up materials 30% and labor 50%, then averages the two — which understates the labor contribution and overstates the materials contribution to profit. Quoting each line with its own markup, then reading the blended margin, gives you a far more honest picture of what the job actually pays.
Once you know your true margin per job, you can compare it to your overhead rate (see our overhead rate calculator) and your break-even point (see our break-even calculator). If margin is consistently below overhead plus a reasonable profit, no amount of volume will fix the business — the pricing model itself is the problem.
Frequently asked about this tool
What is a good markup percentage for contractors?
Most residential trades mark up between 15% and 50%, with materials often marked up less than labor. The 'right' number depends on your overhead, risk, and market. The goal is a markup that produces a margin above your overhead rate plus your target profit — not an arbitrary industry average.
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 cost gives a $1,500 price and a $500 profit — which is a 33% margin, not 50%. Always quote with markup, but evaluate jobs with margin.
Should I mark up materials and labor the same?
Not necessarily. Many contractors mark up labor higher than materials because labor carries more risk and scheduling burden. The key is to know the blended margin the combination produces and to make sure it clears your overhead.
Is anything I enter saved?
No. This calculator runs entirely in your browser. Your numbers are never sent to a server, stored, or associated with you in any way.
You can have the best pricing in town — but it means nothing if your phone isn't ringing.
High-margin quotes only put money in your pocket when homeowners call you in the first place. Elyptic Rise builds contractor websites and Google Maps setups that get you found first. Speak directly with Bryan, the owner.
More free calculators for your business
Break-Even Calculator
Find the exact monthly revenue — and number of jobs — you need just to cover your fixed costs before you make a dollar of profit.
Overhead Rate Calculator
Calculate your overhead burden rate and per-hour overhead so every estimate covers the indirect costs that quietly drain profit.
Job Cost Calculator
Add up labor, materials, subs, equipment, and overhead into one accurate total job cost — then apply profit for the price to quote.