Job Cost and Margin Calculator
Enter the job revenue and its direct costs to see the total direct costs, gross profit, gross margin and markup.
Blank cost fields count as zero. These are gross figures: overhead and taxes are excluded unless you enter them as costs.
Result
Enter the job revenue and its direct costs to see the gross profit, gross margin and markup. A loss shows as a negative result.
How the Calculation Works
Total direct costs = labor + materials + equipment + subcontract + other. Gross profit = revenue − total direct costs. Gross margin = gross profit ÷ revenue × 100. Markup = gross profit ÷ total direct costs × 100.
Worked example: revenue of 10,000 with 7,000 of direct costs gives a gross profit of 3,000, a gross margin of 30% and a markup of about 42.9%.
When revenue is zero the margin shows as Unavailable, and when direct costs are zero the markup shows as Unavailable, rather than infinity. A loss shows as a negative result.
About the Numbers You Enter
Blank cost fields count as zero. These are gross figures: overhead and taxes are excluded unless you enter them as costs, so gross margin is not the same as net profit.
This tool only does the arithmetic on the numbers you enter. It does not recommend a margin or make any claim about market prices.