Suggested Retail Price Calculator

About this calculator

A suggested retail price (often called MSRP, manufacturer’s suggested retail price) is built up from the product’s cost plus a markup: price = cost + (cost × markup%). The resulting profit is simply price minus cost, while margin expresses that same profit as a percentage of the selling price rather than the cost — a distinction that trips people up because a 50% markup only produces a 33% margin, not 50%.

Manufacturers set an MSRP to give retailers a recommended shelf price and to keep pricing consistent across different sellers of the same product, while independent retailers use the same cost-plus-markup logic to price their own goods for a target margin. Product managers, wholesalers, retailers and small-business owners use this calculation to check that a chosen markup delivers the profit margin they actually need after costs.