Exchange Rate Markup Calculator
Find the hidden cost in an exchange rate: how far it is from the mid-market rate and how much money you lose.
We don’t fetch live rates. Check today’s mid-market rate on a reliable source, such as a central bank or a major financial news site. The starting rates are examples only.
The rate on the board, receipt or app.
Cards and cash machines usually add fees on top. Counters often take commission out before changing your money.
Rename the offers and type the rates and fees each one quotes for the same amount. Example figures only. Leave a rate empty to skip a row.
A card machine or cash machine asks whether to charge you in USD or EUR. Enter both amounts it shows.
How your exchange rate markup is worked out
Compare what you got with what the mid-market rate would have given you.
- 1
The fair amount
1,000 × 0.85= 850.00 EUR
- 2
What you got
1,000 × 0.8245= 824.50 EUR
- 3
The gap you lose
850 − 824.5= 25.50 EUR= 30.00 USD lost
- 4
Markup as a %
(0.85 − 0.8245)÷ 0.85= 3.00% markup
Read more: the formula, a worked example, fees and paying in your own currency
Every exchange has two prices: the mid-market rate, which is halfway between what banks pay to buy and to sell a currency, and the rate you are actually given. The gap between them is the markup. It is a cost even when the counter says “no commission”, and fees come on top.
The formula
All rates are written as 1 FROM = x TO (turn the other form round with 1 ÷ rate)
markup % = (mid-market rate − your rate) ÷ mid-market rate × 100
you get = amount converted × your rate
you should get = everything you paid × mid-market rate
you lose (TO) = you should get − you get
you lose (FROM) = everything you paid − you get ÷ mid-market rate
fees = fixed fee + amount converted × % fee
total cost % = you lose (FROM) ÷ everything you paid × 100
effective rate = you get ÷ everything you paid
your currency at the machine: extra = amount shown − bill ÷ mid-market rate × (1 + card fee %)
Worked example
With the starting inputs you change 1,000 USD into euros. The mid-market rate is 1 USD = 0.85 EUR and you are offered 0.8245.
- You should get 1,000 × 0.85 = 850.00 EUR.
- You get 1,000 × 0.8245 = 824.50 EUR.
- You lose 850 − 824.50 = 25.50 EUR, which is 25.50 ÷ 0.85 = 30.00 USD.
- The markup is (0.85 − 0.8245) ÷ 0.85 = 0.0255 ÷ 0.85 = 3.00%.
- Turned round, the mid-market rate is 1 ÷ 0.85 = 1.1765 USD per euro and your rate is 1 ÷ 0.8245 = 1.2129 USD per euro.
These rates are round examples, not today’s rates.
Adding fees
Say the same exchange also has a 5 USD fixed fee and a 1% fee added on top. The fees are 5 + 1,000 × 1% = 15 USD, so you pay 1,015 USD. The 824.50 EUR you get is worth 824.50 ÷ 0.85 = 970 USD, so you lose 1,015 − 970 = 45 USD: 30 from the rate and 15 in fees. That is 45 ÷ 1,015 = 4.43% of what you paid, and the effective rate is 824.50 ÷ 1,015 = 0.8123 EUR per USD.
If the counter takes the same 15 USD out of your 1,000 first, it changes 985 USD: 985 × 0.8245 = 812.13 EUR, worth 955.45 USD, so you lose 44.55 USD.
Comparing offers
The example offers in Advanced, for 1,000 USD at a mid-market rate of 0.85:
| Offer | Rate and fees | You pay | You get | You lose |
|---|---|---|---|---|
| Money transfer service | 0.8475 + 3 USD | 1,003 USD | 847.50 EUR | 5.94 USD |
| Card | 0.85 + 3% | 1,030 USD | 850.00 EUR | 30.00 USD |
| Bank | 0.8245 + 5 USD | 1,005 USD | 824.50 EUR | 35.00 USD |
| Airport counter | 0.78 | 1,000 USD | 780.00 EUR | 82.35 USD |
The cheapest saves 82.35 − 5.94 = 76.41 USD against the dearest. These are made-up figures to show the sum, not real prices.
Paying in your own currency (DCC)
A restaurant bill is 100 EUR and the card machine offers to charge you 125 USD instead. At the mid-market rate the bill is 100 ÷ 0.85 = 117.65 USD. Paying in your own currency costs 125 − 117.65 = 7.35 USD more (6.25%). The machine’s rate is 100 ÷ 125 = 0.80 EUR per USD, a markup of (0.85 − 0.80) ÷ 0.85 = 5.88%. Even with a 3% card fee, paying in euros costs 117.65 × 1.03 = 121.18 USD, still 3.82 USD less.
Tips
- Compare the rate you are offered with the mid-market rate, not with another counter’s rate.
- When a card machine or cash machine abroad asks, choose to pay in the local currency.
- Check your rates are written the same way round. 1 USD = 0.85 EUR is the same as 1 EUR = 1.1765 USD.
- Fixed fees hurt most on small amounts: 5 on 100 is 5%, but on 1,000 it is 0.5%.
- Rates move all day. Use the mid-market rate from the same time as the offer.
This calculator has no built-in rates or prices: every rate and fee is what you enter. The markup bands are a rough general guide, not any provider’s figures. Checked 13 October 2026.
Common questions
What is an exchange rate markup?
It is the gap between the mid-market rate (the rate halfway between buying and selling on the world market) and the rate you are given. If the mid-market rate is 1 USD = 0.85 EUR and you get 0.8245, the markup is (0.85 − 0.8245) ÷ 0.85 = 3%. On 1,000 USD you get 824.50 EUR instead of 850, so you lose 25.50 EUR, or 30 USD.
Where do I find the mid-market rate?
Look it up on a reliable source the same day, such as a central bank’s reference rate or a major financial news site. This calculator does not fetch live rates: you type the rate in, so make sure it is today’s and the same way round as the rate you were offered.
“No commission” — is it really free?
Not always. A counter can charge no fee and still give you a poor rate. That hidden markup is often the biggest cost. Enter the rate they offer and the calculator shows what it really costs you.
Should I pay in my own currency or the local currency abroad?
Usually the local currency. When a card machine offers to charge you in your home currency (dynamic currency conversion), the shop’s provider picks the rate, and it is often several % worse. In Advanced, enter the bill and the amount the machine shows to see the difference.
What is a typical markup?
As a rough guide only: under 0.5% is very low, 0.5–1.5% low, 1.5–3% typical for many banks and cards, 3–6% high, and above 6% very high, often seen at airports, hotels and on card machines that convert for you. Check your own provider’s terms.
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Made by Zulu Calculator, part of AlphaZulu LLC. Formulas are shown in full and rule figures are checked against official sources; see how we build calculators.