FeesDoes Etsy's 6.5% transaction fee apply to shipping too?+
Yes. Etsy calculates that 6.5% on your item price plus whatever you charge the buyer for shipping and gift wrapping — not just the listing price. It's the single most common reason a seller's mental math comes out higher than what actually lands in their Etsy Payments account, so this calculator always includes shipping charged in the fee base.
MarginWhat's actually a good profit margin for an Etsy or Shopify shop?+
There's no one right number, but most small shops that stay healthy long-term land somewhere between 20% and 40% net margin after every fee, cost, and shipping expense is subtracted. Handmade and low-competition niches can push past 50%. If you're consistently under 15%, one bad month of returns or a shipping rate hike can put you in the red.
LaborShould I count my own labor as a cost when pricing?+
If you want the number to mean anything, yes. It's easy to look profitable on paper while quietly paying yourself $4 an hour once you factor in the time spent making, packing, and photographing an item. Toggle labor on, put in a realistic rate and the minutes it actually takes, and the margin you see stops flattering you.
AdsIs Etsy's Offsite Ads program worth the fee?+
It depends on your margin before the fee hits. Offsite Ads only charges you — 12% to 15% of the sale — when it actually drives a sale, so it's not wasted spend in the way a failed PPC campaign is. But on a thin-margin item, that 15% can eat most of what would've been your profit, which is exactly what the warning badge in the results panel is there to catch.
PricingWhy does the calculator show a different price than what I'm currently charging?+
That's usually the break-even price doing its job — it's the absolute floor where fees and costs exactly cancel out revenue, not a suggested price. If your current price is close to it, you're not leaving much room for returns, discounts, or a slow month. In reverse mode, the number you see instead is what you'd need to charge to hit the profit you asked for.
CountryDo Etsy's fees actually change by country?+
The listing fee and 6.5% transaction fee are the same everywhere, but payment processing isn't — it runs from 3% + $0.25 in the US up to around 4% plus a flat fee in the UK and EU, and India-based sellers typically see a higher blended rate since Etsy Payments isn't available on most accounts there. Switching the country selector recalculates that piece automatically.
PlansWhich Shopify plan actually costs less once transaction fees are included?+
Basic looks cheapest on the subscription line, but Advanced's lower card-processing rate (2.4% vs 2.9%) can win out once you're doing meaningful volume — the crossover point is usually a few thousand dollars a month, not day one. Run the same product through both plan settings here before assuming the cheapest sticker price is the cheapest plan.
TaxDoes this calculator account for sales tax or income tax?+
No, and it deliberately doesn't try to. Tax rules vary too much by state, country, and business structure for one generic formula to get right, and getting it wrong is worse than not offering it. Everything here covers platform fees and product costs only — talk to an accountant for the tax side.
