Etsy Profit Calculator (2025)

Calculate net profit from Etsy sales after the 6.5% transaction fee, payment processing, listing fee, product cost, shipping, packaging, and ad spend. Fees verified June 2025.

By Marginory team · Online sellers with hands-on experience across Etsy, Shopify & PODUpdated Fee data verified against official platform documentation

Revenue

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Costs

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Fees

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Risk

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Expected % of orders returned. Impacts net profit.

Summary

Sale price (after discount)$25.00
Platform fee-$1.63
Payment fee-$1.00
Total cost (COGS + fees + ads)-$11.25
Net revenue (after fees)$21.75

Profit

Gross profit$13.75
Return cost impact-$0.00
Net profit$13.75
Profit margin55.0%
ROI on total cost122.2%

Pricing guidance

Break-even price$9.38
Price for 20% margin$11.72
Price for 30% margin$13.39

Fee data source: https://www.etsy.com/legal/fees/ · Last verified: 2025-06-01

Etsy profit formula (2025)

Transaction fee: (Item price + Shipping charged) × 6.5%
Payment processing (US): (Item price + Shipping charged) × 3% + $0.25
Net revenue: Sale price − Transaction fee − Payment fee − $0.20 listing fee
Gross profit: Net revenue − Product cost − Actual shipping cost − Packaging
Net profit: Gross profit − Ad spend − (Gross profit × Return rate %)
Profit margin %: (Net profit ÷ Sale price) × 100

Assumptions:

  • US Etsy Payments rate used (3% + $0.25). UK: 4% + £0.20, EU: 4% + €0.30
  • Offsite Ads not included — add 12% (mandatory >$10k/yr) or 15% to platform fee if applicable
  • Listing fee: $0.20 per listing sold. Multi-quantity: charged once per sell-out, not per unit
  • Currency conversion fee (2.5%) applies if listing in a different currency from your deposit account

Source: https://www.etsy.com/legal/fees/ · Last verified: 2025-06-01

Etsy fee quick reference for profit calculation (US, 2025)

Transaction fee6.5% of (item price + shipping charged)
Payment processing (US)3% + $0.25 per transaction
Listing fee$0.20 per listing sold
Offsite Ads (optional / mandatory >$10k)15% or 12% of total sale
Currency conversion2.5% if listing in non-home currency
Regulatory fee (UK only)0.25% of order total

Worked examples: Etsy profit at different price points

These examples use US Etsy Payments rates (3% + $0.25), no Offsite Ads, and the $0.20 listing fee. Shipping charged to buyer = actual shipping cost (break-even on shipping).

Item priceShipping chargedEtsy fees totalNet revenueExample COGSNet profitMargin
$12.00$4.99$1.79$15.00$4.00$11.0065%
$25.00$5.99$3.15$27.64$8.00$19.6458%
$35.00$6.99$4.26$37.53$12.00$25.5357%
$49.99Free$3.65$46.14$15.00$31.1450%
$79.99$0 (free ship)$5.60$74.19$25.00$49.1949%
$4.99$0 (digital)$0.67$4.12$0$4.1283%

Etsy fees = transaction (6.5%) + payment processing (3% + $0.25) + listing ($0.20). No Offsite Ads. Free shipping rows: item price absorbs full shipping cost. Digital products: zero COGS after creation. COGS figures are illustrative.

How Offsite Ads changes your profit

If you're enrolled in Etsy Offsite Ads (mandatory for shops over $10k/year), an extra 12–15% fee applies to any sale driven by an Etsy ad. This drastically affects margin:

Sale priceWithout Offsite AdsWith 15% Offsite AdsWith 12% Offsite Ads
$25 + $5 shipping~$22.20 net rev~$17.70 net rev (−$4.50)~$18.30 net rev (−$3.90)
$49.99 (free ship)~$45.95 net rev~$38.45 net rev (−$7.50)~$39.95 net rev (−$6.00)
$79.99 (free ship)~$73.46 net rev~$61.46 net rev (−$12.00)~$64.26 net rev (−$9.20)

If your net margin (before Offsite Ads) is below 20%, an Offsite Ads sale at 15% may be unprofitable. Use the Offsite Ads Calculator to check your breakeven →

Typical Etsy profit margins by product type

Product typeTypical sale priceEtsy fees (est.)Typical net marginMain cost driver
Digital downloads (SVG, printable)$3–$15$0.60–$1.5075–85%Near-zero COGS
Handmade jewelry$20–$80$2–$730–55%Materials + labor
Candles$15–$35$1.50–$335–50%Wax, wicks, fragrance
POD t-shirts (Printify)$22–$32$2.50–$3.5025–40%Printify base + shipping
Stickers (printed)$4–$12$0.65–$1.3050–70%Print cost
Custom portraits / art$30–$150$3–$1260–80%Time / labor
Vintage items$15–$200$2–$1540–70%Sourcing cost

Margins estimated after all Etsy fees, COGS, and shipping. No Offsite Ads. Your actual margin depends on pricing, material costs, and shipping efficiency.

How to increase your Etsy profit margin

Price from target margin, not from cost

Use the formula: Price = Total cost ÷ (1 − desired margin %). If your costs are $10 and you want 40% margin: $10 ÷ 0.60 = $16.67 minimum price. Pricing from cost upward often leads to underpricing.

Etsy Pricing Calculator →

Use multi-quantity listings to cut listing fees

With quantity set to 10+, the $0.20 listing fee renews only when all stock sells — not per sale. On 10 sales from one listing, you pay $0.20 total instead of $2.00. A simple change that adds up at volume.

Opt out of Offsite Ads if your margin is under 20%

Eligible shops (under $10k/year) can opt out in Shop Manager → Settings → Offsite Ads. The 15% fee on promoted sales will make low-margin products unprofitable. Check your break-even rate first.

Offsite Ads Calculator →

Roll shipping into the item price for high-ticket items

Free shipping makes listings more attractive in search and removes the double-fee issue (Etsy charges 6.5% on whatever shipping you charge). For items over $35, free shipping often converts better and has minimal margin impact.

Switch to POD for scalable products

Printify and Printful let you sell t-shirts, mugs, hoodies with zero upfront inventory. You only pay base cost when an order comes in. Typical net margin: 25–40% on Etsy after all fees.

Printify Etsy Profit Calculator →

Selling POD products on Etsy?

Printify and Printful integrate directly with Etsy. List products, and they're printed and shipped automatically when orders come in — no inventory, no upfront cost.

PrintifyAffiliate partner

Start selling print-on-demand — no upfront cost

Free to use. 900+ products. Integrates with Etsy and Shopify. Premium plan unlocks up to 20% off base costs.

PrintfulAffiliate partner

Premium print quality, no minimums

No monthly fee. Automatic Etsy & Shopify sync. Free design tools included. Ships to 200+ countries.

Frequently Asked Questions

How do I calculate profit on Etsy?
Etsy profit = Sale price − transaction fee (6.5%) − payment processing (3% + $0.25 US) − listing fee ($0.20) − product cost − shipping cost − packaging. For a $25 US sale with $4 shipping and $8 product cost: ($29 × 6.5%) + ($29 × 3% + $0.25) + $0.20 + $8 = $12.04 in costs, leaving $16.96 profit before your shipping spend.
What percentage does Etsy take from each sale?
For US sellers using Etsy Payments, Etsy takes approximately 9.5–10% of the sale amount in platform fees: 6.5% transaction fee + 3% payment processing + $0.25 fixed fee. The $0.20 listing fee adds a small per-sale cost. If Offsite Ads applies, add 12–15% on top — bringing total platform cost to 21–25%.
Does Etsy take fees on shipping?
Yes. The 6.5% transaction fee AND the 3% payment processing fee both apply to any shipping amount you charge the buyer — not just the item price. If you charge $5.99 shipping, Etsy takes 6.5% of that too. Your actual carrier cost is not a fee — it's a direct expense you pay separately.
How do I improve my Etsy profit margin?
Key levers: (1) Price correctly — work backward from desired margin using the Etsy Pricing Calculator; (2) Buy materials in bulk to reduce COGS; (3) Opt out of Offsite Ads if eligible and your margin is under 20%; (4) Switch to multi-quantity listings to pay fewer listing renewal fees; (5) Use Printify or Printful for POD — no upfront inventory cost.
What is a good profit margin on Etsy?
A healthy Etsy net margin (after all fees and product costs) is 25–40% for physical handmade goods, and 60–80% for digital products (no COGS after creation). POD sellers on Etsy typically see 20–35% after Printify/Printful base costs, Etsy fees, and shipping. Below 20% is thin and leaves little buffer for returns, discounts, or slow periods.
Does Etsy profit calculator include Offsite Ads?
The base calculator uses the standard 9.5% platform fee (transaction + payment processing). If you're enrolled in Offsite Ads, add 12% or 15% to your platform fee input to see the true profit impact. The Etsy Offsite Ads Calculator handles this automatically.