How this calculator works
Enter each expense only once. Taxes are the amount you supply, not a calculated tax liability. The result excludes income and adjustments that have not been entered, and should be reconciled with the business’s financial records.
The formula
Gross = revenue − COGS. Operating = gross − operating expenses. Net = operating − other expenses − taxes.A quick example
Revenue of 10,000 less 4,000 COGS, 2,500 operating expenses, 500 other expenses and 600 taxes gives 2,400 net profit and a 24% net margin.
How to use this calculator
- Choose the settings that match your scenario, using the units shown beside each field.
- Enter revenue, cost of goods sold, operating expenses, other expenses.
- Calculate, then review the method and assumptions alongside the results.
A few common questions
Does this calculate corporate tax?
No. Enter a tax amount calculated separately under the rules that apply to your business.
Why is net margin unavailable at zero revenue?
Its denominator is revenue, so a percentage cannot be defined when revenue is zero.