Project Margin Calculator
Project margin calculator works out Gross profit and Gross margin from Revenue or selling price, Cost of goods sold and Operating expenses. The default figures on this page give gross margin of 30 %; change any entry and the result, the working and the sources update together.
Your figures
Updates as you typeHow this is worked out
4 steps
- Direct costs = 18000 labour + 12000 materials + 5000 other = 35000
- Gross profit = 50000 - 35000 = 15000
- Margin = 15000 / 50000 = 30%
- Markup = 15000 / 35000 = 42.86%
Its 8 worked examples are re-run on every release, last on 15 September 2026. What changed
Sources and references
4 sources
Keep this result
Save it, change one figure, then compare the two
The calculation stays free. Save this scenario, adjust one assumption, save that too, and put them side by side to see exactly what the change costs you. A free account keeps 5 scenarios and 2 comparisons; Personal makes both unlimited and adds exports and private links. Nothing is saved unless you press Save.
What the project margin calculator calculates
Computes gross, operating and net profit margin from revenue and costs, and reports the equivalent markup so the two are never confused.
How to use this project margin calculator
Enter Revenue or selling price, Cost of goods sold, Operating expenses and Interest, tax and other costs. Gross profit updates as you type. Change one figure at a time to see what drives the result.
How the result is worked out
Open “How this is worked out” beside the result for the step-by-step calculation behind Gross profit, Gross margin and Equivalent markup.
The method follows Gross margin = (price - cost) / price; markup = (price - cost) / cost, Break-even units = fixed costs / (price - variable cost per unit), Marginal profit = marginal revenue - marginal cost, i.e. the change in total revenue less the change in total cost between two output levels and SEC EDGAR XBRL Guide - GrossProfit = Revenues - CostOfRevenue; OperatingIncomeLoss is gross profit less operating expenses.
What you can compare
Change one input at a time to see how it affects Gross profit, Gross margin and Equivalent markup. The inputs you can vary are Revenue or selling price, Cost of goods sold, Operating expenses, Interest, tax and other costs, Direct labour and Materials and equipment.
Results are general information, not financial, tax, legal, medical or engineering advice. Check any decision that matters with a qualified professional.
See something wrong? Report a problem with this calculator
Frequently asked questions
How do you calculate margin on a project?
Computes gross, operating and net profit margin from revenue and costs, and reports the equivalent markup so the two are never confused. Open “How this is worked out” beside the result to see each step for your own figures.
Is 30% markup the same as 30% margin?
Computes gross, operating and net profit margin from revenue and costs, and reports the equivalent markup so the two are never confused. On the figures this page opens with — revenue or selling price 100 and cost of goods sold 60 — the gross margin is 30%. Put your own figures in their place and the working updates beside the result.
What is project margin and how is it calculated?
Computes gross, operating and net profit margin from revenue and costs, and reports the equivalent markup so the two are never confused. On this page it is computed from Revenue or selling price, Cost of goods sold and Operating expenses and shown as Gross profit, Gross margin and Equivalent markup.
Is a 50% profit margin too much?
It needs Revenue or selling price, Cost of goods sold, Operating expenses, Interest, tax and other costs, Direct labour and Materials and equipment. Nothing else is required, and the figures stay in your browser.
What information do I need for the project margin calculator?
You need Revenue or selling price, Cost of goods sold, Operating expenses, Interest, tax and other costs, Direct labour, Materials and equipment and Subcontractors and other direct costs. The page opens with default figures that give gross margin of 30 %, so you can see the scale before entering your own.
What does this project margin calculator show?
It shows Gross profit, Gross margin, Equivalent markup, Operating profit, Operating margin, Net profit, Net margin and Selling price, with the working and any warnings for your entries.