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E-commerce Profit Calculator

Work out the true profit on a product after every cost and fee — then see your break-even price, maximum ad spend, ROAS and how profit changes if you adjust the price.

Price & product cost
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Fees (fixed or % of price)

e.g. Stripe/PayPal ~2.9% + fixed.

Platform commission (Etsy, eBay, etc.).

Ad spend attributed to one sale.

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Expected cost of returns per sale.

Average discount given.

Net profit per sale

Enter a selling price to calculate your profit.

What is an e-commerce profit calculator?

Online sellers rarely keep as much as the sticker price suggests. Between product cost, shipping, packaging, payment processing, marketplace commission, advertising, returns and discounts, a healthy-looking sale can end up barely profitable. This calculator strips a single sale down to its real net profit and margin so you can price with confidence.

How does it work?

Enter your selling price and each cost. Fees that vary — payment processing, marketplace commission, advertising, returns, discounts and taxes — can be entered as a fixed amount or a percentage of price using the toggle. The calculator then computes gross and net profit, your margins, total fees and total cost, plus three numbers that drive smart decisions:

  • Break-even selling price — the lowest price that still covers your costs.
  • Maximum advertising cost — the most you can spend per sale before it becomes unprofitable.
  • ROAS — return on ad spend at your current price and advertising cost.

How is the result calculated?

  • Gross profit = Price − (Product + Shipping + Packaging)
  • Net profit = Price − all costs before advertising
  • Profit after advertising = Net profit − Advertising
  • Break-even price = Fixed costs ÷ (1 − percentage fees)

Sensitivity: what if I change the price?

Pricing is the highest-leverage decision in e-commerce. The sensitivity table shows your profit and margin at 5% lower, current, 5% higher, 10% higher and 20% higher prices, with advertising held constant. Because percentage fees scale with price while product cost does not, a modest price increase often improves margin more than you expect — the table makes that trade-off visible.

Example

A $50 product costs $12 to make, $4 to ship and $1 to package, with 2.9% payment processing, a 15% marketplace fee and $5 of advertising per sale. Gross profit is $33, net profit before ads is about $23, and after advertising you keep roughly $18 — a 36% margin with a ROAS of 10. The results also show how low your price could go before you lose money.

Who should use it?

  • Shopify, Etsy, eBay and WooCommerce sellers pricing new products.
  • Dropshippers checking whether a product is viable after fees and ads.
  • Anyone deciding how much they can afford to spend on advertising.

Related tools

Selling on Amazon? Use the Amazon FBA profit calculator for marketplace-specific referral and fulfillment fees, or the break-even calculator to plan volume targets.

Frequently asked questions

How do I calculate profit on an e-commerce product?

Start with the selling price and subtract every cost of the sale: product cost, shipping, packaging, payment processing, marketplace fees, advertising, returns, discounts, storage and taxes. What remains is your net profit per sale, and dividing it by the price gives your profit margin.

What is a good profit margin for e-commerce?

It varies by category, but many healthy online stores target a net margin of 10–20% after all fees and advertising. High-competition, low-price products often run thinner, while unique or premium products can run higher. Use the calculator to see where your product lands.

What is ROAS and break-even ROAS?

ROAS (return on ad spend) is revenue divided by advertising cost. Break-even ROAS is the point where advertising exactly consumes your product profit. Knowing your maximum ad cost per sale — shown in the results — tells you how aggressively you can bid before a sale becomes unprofitable.

Can I enter fees as a percentage instead of a fixed amount?

Yes. Every fee field has a toggle so you can enter it as a fixed currency amount or as a percentage of the selling price. This matters for break-even and pricing, because percentage fees scale with price while fixed fees do not.

Disclaimer. This calculator provides estimates for informational purposes only. Results are based on the information you enter and the assumptions used by the calculator. Actual financial, tax, business valuation, lending, marketplace or investment outcomes may differ. Consider consulting a qualified professional for decisions involving significant amounts of money.