Markup is not your take-home result
If a plan costs $8 wholesale and sells for $12, the $4 difference is gross spread, not net profit.

Calculate the right percentages
Markup uses wholesale cost as its denominator: $4 divided by $8 is 50%. Gross margin uses retail price: $4 divided by $12 is about 33.3%.
Subtract the sale costs
Deduct processor percentage and fixed charges, then allocate any acquisition, support and refund costs. What remains is modeled contribution, before overhead and taxes.
Review the real plan
Wholesale prices and customer rules can change. Recheck the price in your store admin and rerun the calculation before promoting a package.
Your next step
Create your free storeMake the store your own.
Create a free merchant account, then prepare payments and wholesale funding before your first sale.
