Parts Markup Calculator

1. Pick a part or enter the cost. Use the Quick Lookup dropdown to select a common HVAC part and auto-fill the wholesale cost, or type your own cost directly.

2. Set your markup percentage. Use the quick buttons for common markup levels or type any percentage. The industry standard for small parts is 200-300%.

3. Read the results. The calculator instantly shows your sell price, profit per unit, margin percentage, and markup percentage. Compare against the benchmarks below to make sure you are in the right range.

4. Adjust until it fits. Try different markups to see how they affect your margin. If you are building a flat rate price book, use this to set consistent pricing across your parts inventory.

Markup is the percentage added on top of your cost. Margin is the percentage of the final sell price that is profit. They use different denominators, which is why the numbers are always different.

Here is a concrete example. You buy a capacitor for $15 and mark it up 200%.

The markup is 200% but the margin is only 66.7%. Markup will always be a larger number than margin for the same transaction. When someone says "we run 65% margins on parts," that translates to roughly a 186% markup. When someone says "we mark up 300%," that is a 75% margin.

The most common mistake is confusing the two. If you set your prices thinking 50% markup gives you 50% margin, you are actually only making a 33% margin. This calculator shows both numbers so you always know exactly where you stand.

Building a flat rate price book. When you are setting up or updating your flat rate pricing, you need consistent markups across every part. Pull up this calculator, go through your parts list, and set a sell price for each one. Use the benchmarks to keep small parts at higher markups and major equipment at lower markups so your blended margin hits 65%.

Quoting a repair on site. You diagnose a bad contactor and need to give the customer a price. Open the calculator on your phone, select the part from the dropdown, and you instantly see the sell price at your standard markup. No guessing, no mental math, no accidentally giving away margin.

Training new techs on pricing. New technicians often undercharge on parts because they do not understand the difference between markup and margin. Walk them through this calculator to show why a 200% markup on a $15 capacitor results in a $45 charge, and why that $30 profit is necessary to cover truck inventory, overhead, and warranty.