Cost-Plus Pricing Calculator
Estimate total batch cost, cost per unit, recommended selling price, gross profit, and gross margin from materials, labor, overhead, and a target markup percentage.
Last updated: 2026-03-25
Cost-plus pricing calculator
Enter your values
Set a selling price from the full cost stack, not just one visible cost line.
Suggested Unit Price
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Enter materials, labor, overhead, and target markup to estimate a defensible selling price.
Calculation History(0)
Example calculations
Tap an example to prefill the calculator with sample values.
Small-batch goods
$680 materials, 18 labor hours, 40% markup
A practical manufacturing or maker-business use case where the goal is a quick unit price that preserves margin over full batch cost.
Result: The recommended price reflects the full batch cost rather than only materials and labor
Higher-touch custom work
More labor-intensive batch with lower unit count
Useful when labor dominates cost and a simple material-only markup would materially underprice the work.
Result: Unit price rises sharply once lower throughput and heavier labor are both recognized
How the cost-plus model works
The calculator builds full batch cost from materials, labor, and overhead, then applies the markup percentage to that cost base rather than to only one cost component.
That produces both a batch selling price and a unit selling price, which helps when you need to quote a run, a box, or an individual SKU from the same underlying economics.
Cost-plus pricing FAQs
How full-cost pricing differs from partial-cost pricing and why markup and margin are not the same thing.
Why include overhead in a cost-plus model?
Because pricing only off materials and direct labor often under-recovers real operating cost. Overhead allocation makes sure rent, software, admin time, and equipment still show up in the price.
Is markup the same as gross margin?
No. Markup is applied on cost, while gross margin is profit as a percentage of selling price. A 40% markup produces a lower gross margin than 40%.
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