XBKit·Etsy

Etsy Shipping Calculator

See exactly how much you profit or lose on shipping after Etsy's transaction fee on the shipping amount.

Shipping Details
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Etsy Shipping Rules

Etsy charges 6.5% transaction fee on shipping you charge buyers

Free shipping = no transaction fee on shipping, but you absorb the cost

Buyers pay payment processing on the full order (item + shipping)

Formula
Shipping Net=Charged to BuyerActual Postage CostEtsy Tx Fee on Shipping (6.5%)
  • Break-even charge = Cost ÷ (1 − 0.065)
  • To net $6.50, charge~$6.95
  • Free shipping: no tx fee on shippingbut absorb cost

How to Use

  1. 1

    Enter the shipping charge you collect

    Input the shipping amount you charge the buyer on your Etsy listing (or $0 if you offer free shipping).

  2. 2

    Enter your actual shipping cost

    Input what you actually pay to ship the order — the label cost from USPS, UPS, or your carrier.

  3. 3

    See your net shipping profit or loss

    The tool shows how much you keep after Etsy's 6.5% transaction fee on your shipping charge. Negative results mean you're subsidizing shipping.

  4. 4

    Adjust your shipping price

    If you're losing money on shipping, increase your shipping charge or roll it into the item price and offer 'free shipping'.

Frequently Asked Questions

Does Etsy charge a fee on shipping?

Yes — Etsy charges a 6.5% transaction fee on the shipping amount you collect from buyers, in addition to the transaction fee on the item price. Many sellers are surprised by this and underprice their shipping.

Should I offer free shipping on Etsy?

Etsy's algorithm may give a small boost to listings with free shipping. However, free shipping only works if you factor the shipping cost into your item price. Offering free shipping while absorbing the full cost reduces your margin.

Why am I losing money on shipping?

Common reasons: your shipping charge doesn't cover the actual label cost after Etsy's 6.5% fee, you've underestimated carrier costs, or you're using Etsy Shipping Labels (which deducts cost from your account balance).

What's the best way to price shipping on Etsy?

Calculate your actual shipping cost, then divide by 0.935 (to account for the 6.5% fee). This ensures you break even on shipping. Add a small buffer ($0.50–$1) for packaging materials.

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