Selling-price calculator

Enter your product cost, shipping, fees and the margin you want. The tool solves for the price that really delivers it after the percentage fees that are taken out of the selling price itself. It is a pricing calculator and a profit margin check in one: the margin you actually get is shown under the price.

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How to use it

  1. Enter the product cost and the shipping cost you pay for one order.
  2. Enter fixed fees per order (such as a transaction fee), then the percentage fees charged on the selling price (platform commission or payment gateway).
  3. Choose how you set profit: a margin on the selling price or a markup on the product cost, and enter the target percentage.
  4. Read the suggested price and its breakdown: fee amounts, profit and the resulting margin as a check.
  5. If the tool rejects the inputs, read the reason and lower the fees or the margin.

Example

Product cost 60, shipping 12 and fixed fees 3 add up to costs of 75. With 5% percentage fees and a 20% target margin, 75% of the price is left to pay for the costs, so the price is 75 ÷ 0.75 = 100.

At a price of 100: percentage fees are 5, total fees are 8, and profit is 100 − 75 − 5 = 20, which is the 20% margin on price you asked for.

Limits and caveats

  • The calculation covers one order with one product and excludes tax, returns and advertising cost. Add whichever of those you need to the costs yourself.
  • Percentage fees are assumed to be charged on the full selling price. If your platform charges them on price plus shipping, or after tax, the result will differ.
  • Markup in this tool is measured against the product cost only, not against shipping and fees.
  • The price is displayed rounded to two decimal places. Rounding the price down lowers the real margin slightly below the target.
  • Inputs are rejected when percentage fees plus margin reach 100% or more, because no price can satisfy them. Each amount can be at most 1,000,000,000,000.

Questions about this tool

Why not just add the fee and margin percentages to the cost?

Because percentage fees and margin are both measured on the selling price, not on the cost. Adding 25% to a cost of 75 gives 93.75, and after a 5% fee the profit is only about 14.06, a 15% margin instead of 20%. Dividing by the share of the price that is left is the correct method.

What happens when fees plus margin are 100% or more?

Nothing is left of the price to pay for the costs, so the formula divides by zero or by a negative number. The tool rejects this case and explains why instead of showing a negative or infinite price.

What is the difference between margin mode and markup mode?

In margin mode the profit is a share of the selling price. In markup mode the profit is a share of the product cost, and the price is then raised to absorb the percentage fees. The tool shows the resulting margin and markup in both modes so you can compare them.

How do I calculate a selling price from cost and margin?

Selling price = cost ÷ (1 − margin ÷ 100). A cost of 75 with a 25% margin gives 75 ÷ 0.75 = 100. If a percentage fee is also taken out of the price, subtract it in the denominator too, which is what the calculator does: 75 ÷ (1 − 0.05 − 0.20) = 100.

How do I calculate a selling price with a markup on cost?

Multiply the cost by (1 + markup ÷ 100). A cost of 60 with a 50% markup gives 60 × 1.5 = 90. In markup mode the calculator adds the profit on the product cost only, then raises the price to cover shipping, fixed fees and percentage fees.