The comedienne and her professional partner Louis Van Amstel were placed last by the US show's judges - Len Goodman, Bruno Tonioli, and Carrie Ann Inaba - scoring just 18 points out of a possible 30 for their samba to Barry Manilow's 'Copacabana'.
However, it was the public who granted the final decision on who should leave the ABC reality show last night (05.10.10).
The 41-year-old star later revealed though she is "sad" to be leaving the competition, she plans to carry on dancing, as she believes it will add "years" to her life.
She said: "I'm just so sad we aren't going to be dancing. I'm going to dance with Louis anyway. I love being out on the floor with him and I'm going to miss that. I was also crying because this has been such a joyful experience.
"I was starting From Zero. It was such a physical challenge. That's what is really great because now I want to keep doing it, I want to keep dancing. It's going to add years to my life, and that's a really powerful thing."
However, Margaret admitted she found appearing alongside the likes of former 'The Hills' star Audrina Patridge - who topped the leaderboard on Monday night with a score of 26 - and actress Jennifer Grey an "intimidating" experience.
She added to Entertainment Weekly: "I have to be myself, no matter what. I have to stand tall and proud because that's what I'm all about.
"We are competing against athletes and very graceful people. I am so in a new arena here. My forte is stand-up comedy so dance is totally new. That's why I was intimidated."