Agency Project Margin Calculator

Use this calculator to estimate project margin based on what a client pays and what delivery actually costs your agency.

It is useful for retainers, fixed-scope projects, production work, subcontractor-heavy delivery, and any quote where margin visibility matters.

How to use this result

A decent-looking top-line number can still hide a weak margin.

• If the margin is thin, scope creep or revisions can erase profit fast.
• Add account management, QA, and founder oversight if they are not already in delivery cost.
• Use this before saying yes to lower-budget or custom work.
• Margin is often the difference between a busy agency and a healthy agency.

FAQ

What should be included in delivery cost?
Include freelancer costs, internal production time, revisions, software directly tied to the project, and any variable delivery overhead.

Is margin the same as markup?
No. Margin measures profit as a percentage of revenue. Markup measures how much you add on top of cost. They are related, but not the same.

What is a healthy project margin?
That depends on model and overhead, but many agencies want enough room to absorb revisions, sales cost, and management time without stress.