What is the difference between Margin and Markup?

Both metrics express profitability, but relative to different baselines. Markup is the percentage added to the Cost Price (Profit / Cost), whereas Margin is the percentage of the final Selling Price that is profit (Profit / Selling Price). For example, if an item costs $50 and sells for $100, the profit is $50. The markup is 100% ($50 / $50), but the gross profit margin is 50% ($50 / $100).

Is 'Buy 1 Get 1 Free' the same as 50% off?

Yes, if you purchase exactly two items, 'Buy 1 Get 1 Free' equals a 50% discount across both items. However, if you only need one item, a standard 50% off promotion is superior because it requires half the upfront cash commitment without forcing you to buy extra inventory.

How is sales tax calculated on discounted items?

In most jurisdictions, store discounts and coupons provided directly by the retailer reduce the taxable sale price before sales tax is assessed. For example, a $100 item discounted to $80 with an 8% tax rate incurs tax on $80 ($6.40), making the total payable $86.40. Note that manufacturer rebates may be subject to tax on the original pre-rebate price in certain states.

What is 'Keystone Pricing' in retail?

Keystone pricing is a classic retail rule of thumb where merchandise is priced at exactly double its wholesale acquisition cost (a 100% markup on cost), yielding a 50% gross profit margin. This margin buffer provides retailers sufficient room to absorb operating overhead, shipping, returns, and eventual clearance markdowns.

Are my financial calculations and prices kept private?

Yes. 100% of calculations execute locally in your web browser. No product costs, margin targets, wholesale pricing, or sales data are transmitted across the network or stored on any server.

Discount, Sale Price & Margin Calculator

Calculate shopping discounts, stacked double coupons, sales tax, retail profit margins, markups, and volume promotions (BOGO & bundle deals) in real time.

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Currency
Margin
Markup
BOGO

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Quick Discount Presets

Original Price ($)

Discount Percentage (%)

Sales Tax / VAT (%) (Optional)

Enable Double Discount / Stacked Checkout Coupon

Final Discounted Price

$97.20(incl. $7.20 tax)

You Save: $30.00 (25.0% Off)

Original Price$120.00

Sale Price (Pre-Tax)$90.00

Itemized Statement Breakdown

Original Retail Price$120.00

Primary Discount (25%)-$30.00

Net Sale Price (Subtotal)$90.00

Sales Tax (8%)+$7.20

Final Total Payable$97.20

How to Calculate Discounts, Stacked Coupons, and Sale Prices?

A discount represents a reduction in the standard retail price of goods or services. Calculating sale prices accurately allows consumers to verify checkout totals and enables retailers to set competitive promotional campaigns while protecting net profitability.

Standard Percentage Off Formula

Sale Price = Original Price - (Original Price × Discount%)

Amount Saved = Original Price × (Discount% / 100).

Sequential Double Discount Formula

Final Price = Original × (1 - d₁) × (1 - d₂)

Effective Discount% = [1 - (1 - d₁) × (1 - d₂)] × 100.

How to Use the Elixuvo Discount & Margin Calculator?

Shopping Discounts

Enter original price, click a preset like 20% or 50% off, toggle double discounts for coupon codes, and enter sales tax to see exact out-the-door totals.

Margin & Markup

Enter your product acquisition cost, set your target gross margin or markup, and immediately receive the suggested retail price and unit gross profit.

Volume Promos (BOGO)

Select BOGO Free, BOGO 50%, or custom 3-for-$X bundle promotions to find your effective per-unit price and true percentage savings.

Margin vs. Markup: What's the Difference?

Confusing Margin with Markup is one of the most common and costly mistakes in retail pricing. While both metrics measure profitability, they use different denominators:

Target Profit Margin	Required Markup on Cost	Wholesale Cost ($)	Retail Selling Price ($)	Gross Profit ($)
10.0%	11.11%	$100.00	$111.11	$11.11
20.0%	25.00%	$100.00	$125.00	$25.00
25.0%	33.33%	$100.00	$133.33	$33.33
33.3%	50.00%	$100.00	$150.00	$50.00
50.0% (Keystone)	100.00%	$100.00	$200.00	$100.00
60.0%	150.00%	$100.00	$250.00	$150.00

Frequently Asked Questions

In retail, double discounts are applied sequentially rather than additively. For example, if an item originally costs $100 with a 20% store discount plus an additional 10% coupon, the first 20% discount reduces the price to $80. The 10% coupon is then calculated on the $80 discounted price ($8 off), bringing the final price to $72. This represents an effective 28% total discount, rather than 30%.

100% Client-Side Privacy: All calculations, discounts, and margins are computed exclusively inside your local browser. No financial figures are ever sent to a remote server.

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Target Profit Margin

Required Markup on Cost

Wholesale Cost ($)

Retail Selling Price ($)

Gross Profit ($)

10.0%

11.11%

$100.00

$111.11

$11.11

20.0%

25.00%

$100.00

$125.00

$25.00

25.0%

33.33%

$100.00

$133.33

$33.33

33.3%

50.00%

$100.00

$150.00

$50.00

50.0% (Keystone)

100.00%

$100.00

$200.00

$100.00

60.0%

150.00%

$100.00

$250.00

$150.00

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Discount, Sale Price & Margin Calculator

Itemized Statement Breakdown

How to Calculate Discounts, Stacked Coupons, and Sale Prices?

Standard Percentage Off Formula

Sequential Double Discount Formula

How to Use the Elixuvo Discount & Margin Calculator?

Shopping Discounts

Margin & Markup

Volume Promos (BOGO)

Margin vs. Markup: What's the Difference?

Frequently Asked Questions

Related tools

Loan, EMI & Mortgage Calculator

Electricity Bill Unit & Cost Calculator

Exact Age & Date Calculator

Itemized Statement Breakdown

How to Calculate Discounts, Stacked Coupons, and Sale Prices?

Standard Percentage Off Formula

Sequential Double Discount Formula

How to Use the Elixuvo Discount & Margin Calculator?

Shopping Discounts

Margin & Markup

Volume Promos (BOGO)

Margin vs. Markup: What's the Difference?

Frequently Asked Questions