Save your working copy
Save a separate workbook for each product. Replace the fictional example with your own figures. Use Microsoft Excel. This calculator models one product and one batch at a time. All amounts are in Australian dollars.

Build the batch cost
Open Cost Breakdown. Enter a category, description, quantity, unit and tax-exclusive rate. Choose Materials, Labour or Other. Enter costs for the entire batch. The Batch cost column is calculated automatically; leave its formulas intact.

Include labour and other costs
For labour, enter hours and hourly rate. Add packaging and other fixed costs as separate lines. The sample uses 10 hours at A$26, giving A$260 labour for the batch. Percentage-based selling fees are not modelled by this workbook.

Set the batch size
Open Pricing Calculator. Enter product name, SKU and units made per batch in the blue input cells. The calculator divides total batch costs by the units made. The sample batch costs A$546.50 for 10 units, or A$54.65 per unit.

Choose margin, discount and tax
Enter the target margin, discount rate, tax rate and any additional cost per unit. Type percentages such as 20% and 10%. Use tax-exclusive costs and prices consistently. The tax rate is your input, not a determination of your tax obligations.

Read the target price
Price for target margin shows the list price needed before discount, tax and customer total. With the sample 20% margin and 10% discount, the suggested list price is A$75.92 excluding tax. Check every assumption before using a price.

Compare your chosen price
Enter your chosen list price excluding tax. Read profit per unit and margin in the right-hand panel. For the A$80 sample price and 10% discount: net sale is A$72, profit is A$17.35, and margin is about 24.1%. Tax is excluded from profit.

Check and save
Review the cost lines, units, margin and discount. Save the finished workbook for this product. Margin is profit divided by net sales. Markup is profit divided by cost. If a result is blank, check that units are positive and margin and discount are below 100%.