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Job profit and margin calculator

The completed job tells the truth.

A quote can look healthy and still finish weak after extra labor, material changes, callbacks, and overhead. Reconcile the final revenue and cost while the lesson is still useful.

Fast answerActual job profit equals final revenue minus every actual job cost. Margin divides profit by revenue; markup divides the same profit by total cost.

job-profit-calculator

Check what the job actually kept

Compare final revenue with every completed-job cost to see profit dollars, margin, and markup from the same result.
Total job cost$3,250.00All entered costs
Job profit$1,350.00Revenue − total cost
Profit margin29.35%Profit ÷ revenue
Markup on cost41.54%Profit ÷ total cost

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Use actual revenue and actual cost

JOB PROFITFinal job revenue − total actual job cost
PROFIT MARGINJob profit ÷ final job revenue

Use the amount actually earned for the work and the costs actually consumed. Keep sales tax or pass-through amounts consistent with the accounting view you use elsewhere.

Read margin and markup correctly

MARKUP ON COSTJob profit ÷ total actual job cost

With $4,600 of revenue and $3,250 of total cost, profit is $1,350. That is a 29.35% margin on revenue and a 41.54% markup on cost. Both describe the same dollars from different denominators.

Turn the result into a better estimate

  • Compare estimated and actual labor hours, material cost, and subcontractor cost.
  • Record scope changes and callbacks separately from ordinary estimating error.
  • Update burden, overhead, and risk assumptions when the same variance repeats.
  • Do not treat one unusually good or bad job as the new normal without context.

Questions people ask

How do I calculate profit on a completed job?

Subtract every actual job cost from final job revenue. Include materials, true labor, subcontractors, allocated overhead, and other costs that belong to the work.

How is job profit margin calculated?

Divide job profit by job revenue. A job with $1,350 of profit on $4,600 of revenue has a 29.35% margin.

Why is markup higher than margin on the same job?

Markup divides profit by cost, while margin divides the same profit by revenue. Because cost is the smaller denominator on a profitable job, markup is higher.

ScopeRate is a calculation and recordkeeping tool, not market-pricing, tax, accounting, or legal advice. Verify your assumptions, local requirements, and every quote before using it.