Jewelry Margin Calculator.
Work out the gross margin on a piece from its cost and selling price — or start from the margin you need and get the price to charge.
Free, no sign-up. Everything you type stays in your browser.
Everything paid to have the piece ready to sell.
- Gross Margin
- 40%
- Profit
- $400.00
- Markup
- 66.7%
How Gross Margin Is Calculated
Gross margin is profit as a share of the selling price: (price − cost) ÷ price. A ring that cost $600 and sells for $1,000 makes $400, a 40% margin. Margin can never reach 100%, because that would mean the piece cost nothing.
Margin Is Not Markup
The same $400 profit is a 40% margin but a 66.7% markup, because markup divides by the cost instead of the price. Mixing them up is the most common pricing mistake: a business that means a 50% margin but applies a 50% markup prices every piece too low.
- Keystone (doubling the cost) is a 100% markup and a 50% margin
- A 60% margin needs a 150% markup
- Margin = markup ÷ (1 + markup)
Use The Real Cost
A margin is only as true as the cost under it. For jewelry that means the supplier's price converted into your currency, plus what it cost to bring the piece in — duty, freight and insurance — and any making or setting charges you paid on top. Leave those out and every margin looks better than it is.
Still Working Out Margins By Hand?
Mero keeps each piece's real cost — the supplier's price in your currency plus that supplier's landed cost — next to its wholesale and retail price, and shows the profit actually made on every paid invoice, piece by piece.
Common Questions.
- What is a good gross margin for jewelry?
- It varies widely by what you sell and how: fine jewelry with high metal content usually carries a lower margin than designer or fashion pieces, and wholesale margins are lower than retail. Compare against your own costs to run the business, not a single industry figure.
- What is the difference between margin and markup?
- Both describe the same profit. Margin divides it by the selling price; markup divides it by the cost. A piece bought for $500 and sold for $1,000 has a 50% margin and a 100% markup.
- Can margin be more than 100%?
- No. Margin is profit as a share of the price, so it approaches 100% only as cost approaches zero. Markup, on the other hand, can be any size.
- Should I include labor and stones in the cost?
- Yes. Cost should include everything you paid to have the piece ready to sell: metal, stones, making or setting charges, and the duty, freight and insurance to bring it in.
No Sales Call Required.
Create your account, import your data, and start running your jewelry business in Mero.