Product Pricing Breakdown
See exactly how each dollar of your selling price is split between product cost, packaging, shipping, fees, ads, and profit.
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Enter every amount in the same currency. This selector only changes the symbol shown — it does not convert exchange rates.
Profit per sale
$7.57
Moderate Profit PotentialMargin
25.2%
Markup
166.6%
ROI
67.3%
- Product cost
- $8.00
- 26.7%
- Inbound shipping
- $1.00
- 3.3%
- Packaging
- $0.75
- 2.5%
- Labor
- $1.00
- 3.3%
- Overhead
- $0.50
- 1.7%
- Advertising
- $2.00
- 6.7%
- Outbound shipping paid
- $5.00
- 16.7%
- Selling fees
- $4.17
- 13.9%
- Profit
- $7.57
- 25.2%
Total costs per sale
$22.42
Shipping subsidy
−$5.00
Short example
A $29.99 sale with $8.00 product cost, $3.25 in prep/labor/overhead, $2.00 ads, $5.00 outbound shipping, and ~13% fees leaves ≈ $6.85 profit (~22.8% margin).
All calculations are estimates based on average platform fees. Real profits may vary depending on category, ads, and shipping.
Free worksheet for your next step
Turn this calculator result into a plan with a matching worksheet, checklist, or printable resource.
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How to use this calculator
- Enter your numbers in each field above — the calculator updates instantly as you type, so there's nothing to submit.
- Use your real figures when you have them, or sensible estimates while you're planning. If a field doesn't apply, leave it at zero.
- Compare the results, then change one input at a time to see how each lever (price, cost, fees, volume) moves the outcome.
Formula
For each cost bucket: percent of price = Bucket cost ÷ (Price + Shipping charged)
Worked example
$29.99 sale, $8 product, $3.25 in prep/labor/overhead, $2 ads, $5 outbound, ~13% fees.
- Fees = ~$3.89 + $0.30 = $4.19
- Costs = 8 + 3.25 + 2 + 5 + 4.19 = $22.44
- Profit ≈ $7.55
Answer: ~$7.55 profit (~25.2% margin)
How it works
The most useful pricing question isn't 'am I profitable?' but 'where does the money actually go?' — a category eating 15%+ of your price is usually the first lever to pull.
How to interpret your results
- Dollar values are shown per sale, per order, or per item unless a result is explicitly labelled monthly, weekly, or daily.
- Percentages (margin, ROI, conversion rate) are easier to compare across products and price points than raw dollars — use them when you benchmark.
- A positive result means you're ahead after the costs and fees you entered. A negative result means the current numbers don't work — change a lever (raise price, cut a cost, lower ad spend) and recalculate.
- Treat the output as a planning estimate, not a guarantee. Fees, taxes, and conversion rates shift over time — re-run the numbers whenever a key input changes.
Common mistakes
- Not counting labor or overhead as real costs.
- Missing the fixed transaction fee — it hurts small orders most.
- Confusing profit % (margin) with markup %.
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Go deeper with plain-English guides on the same topic.
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FAQ
- What's a healthy profit share?
- 20–35% is common in ecommerce. Under 15% and one refund erases the sale.
- How do I lower fees?
- Some are structural (marketplace commission). Others (payment processing) shrink with volume or when you move to your own store.
Why trust this calculator?
This tool uses standard mathematical formulas and commonly accepted calculation methods, shown openly in the Formula section above so you can verify the math yourself. Results are estimates based on the information you enter and do not account for every individual circumstance. For important financial, tax, legal, medical, or business decisions, please double-check with a qualified professional before acting on the numbers.
Keep going
One calculator rarely tells the full story. Pair this one with a related tool below to pressure-test your numbers from a different angle, or browse Selling & Business Calculators for more in the same category.
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