Profit margin and markup are different
Use the right denominator when comparing a cost with a selling price.
1 min read · Open guideMoney & finance
Understand the assumptions behind the number.
Compare loan payments, explore savings plans, and understand percentages without confusing projections with promises.
A useful place to start
Identify what you want to compare: payments, savings, costs or margins.
Enter consistent units and a clearly stated rate assumption.
Compare another scenario and check fees or terms that the estimate excludes.
THE TOOLKIT
5 tools · Local processingChoose the right tool for the job.
Money
Loan Repayment
Estimate fixed-rate monthly payments and total interest.
Open tool MoneyCompound Interest
Project monthly compounding and regular contributions.
Open tool MoneySavings Goal
Estimate the monthly amount needed to reach a target.
Open tool MoneyDiscount Calculator
Calculate a sale price and the amount saved.
Open tool MoneyProfit Margin
Compare selling price, profit margin, and markup.
Open toolConnect the steps.
For a loan comparison, keep the amount and term the same while changing the rate. A monthly payment alone does not describe the complete cost of borrowing.
GO A LITTLE DEEPER
All guides ↗Guides for the next step.
Know the limits.
Simplified projections exclude fees, taxes and product-specific terms. Estimates do not recommend a financial product.
How we explain methods and sources →