Calculate required selling price
Combine your direct unit cost with any extra per-sale cost, then set the target gross margin you need. The calculator tells you what the price floor should be.
Three common price-floor scenarios.
Calculator
Selling Price Calculator
Calculate the selling price required to hit a target margin. This target margin calculator is useful when you know the economics you need and want to work backwards to the minimum viable price floor.
Formula
How to calculate required selling price
Selling price = Cost base / (1 - Target margin)
If the combined cost base is $50 and you want a 35% gross margin, divide $50 by 0.65. That gives a required selling price of about $76.92.
Where it helps
- Setting price floors before publishing catalogs or quotes.
- Checking whether extra fees or shipping pressure your pricing too far.
- Working backwards from a target margin instead of guessing markup.
Useful next step
Once you have the required price, use discount, profit, or break-even to see how resilient that price is once real-world promotions and volume targets show up.
Review note
How PricingDeck treats selling-price calculations
How we calculate it
- The tool works backwards from the target gross margin to a minimum viable price.
- Extra per-sale costs are added to the base before the target margin is applied.
- The result is meant to be a floor price, not a guaranteed market price.
Editorial context
This page is most useful when you already know the economics you need and want to stop guessing the quote. Real prices still need market context, tax handling, and negotiation pressure layered on afterwards.
FAQ
Common questions about required selling price
What is a target margin calculator?
It is a calculator that works backwards from cost and a desired gross margin to show the minimum selling price required. That is why it is useful for price floors and quote building.
What is the difference between margin and markup?
Margin measures profit as a share of selling price, while markup measures profit as a share of cost. If you start from a target margin, the required selling price will usually imply a higher markup percentage.
Should extra fees be included in cost base?
Usually yes. Payment fees, packaging, delivery overhead, and other per-sale costs should sit inside the cost base before you calculate the required selling price.