Want your own numbers? The Etsy calculator shows every fee and your profit as you type.
Open the Etsy US fee calculatorHandmade sellers often price by gut feel or by copying similar shops. Both can hide a loss once fees and postage come out. This method gives you a price you can defend. Enter your numbers in the Etsy fee calculator as you go.
1. Cost your materials properly
Include every material that goes into one item, plus a share of things you use up over time, such as glue, thread or ink. Add packaging.
2. Pay yourself
Decide an hourly rate and multiply by the time each item takes. This is the step most sellers skip. If you do not pay yourself, your profit is really your wages, and the business cannot grow.
3. Add postage
Use the actual label cost. If you offer free shipping, Etsy search tends to favour it for US buyers, so build postage into the item price.
4. Let the calculator add fees
Here is an item with $9 of materials, $4.50 postage and $1 packaging, sold with free shipping.
| Price | Total fees | Payout | Fees % | Profit |
|---|---|---|---|---|
| $20.00 | $2.35 | $17.65 | 11.75% | $3.15 |
| $25.00 | $2.83 | $22.18 | 11.30% | $7.68 |
| $30.00 | $3.30 | $26.70 | 11.00% | $12.20 |
| $35.00 | $3.78 | $31.23 | 10.79% | $16.73 |
| $40.00 | $4.25 | $35.75 | 10.63% | $21.25 |
| $50.00 | $5.20 | $44.80 | 10.40% | $30.30 |
At $20 it earns $3.15 before your time. At $35 it earns about $16.73. If the item takes 30 minutes and you want $20 an hour, you need at least $10 profit, so a price of about $27.58 is the floor.
5. Check the Offsite Ads case
Switch the Offsite Ads option on and check the profit still makes sense. If an ad sale would lose money, raise the price or remove the item from any low-margin line. See the Offsite Ads guide.
6. Compare with the market
Look at similar items that are actually selling. If your price is well above them, you need better photos, a clearer story or a different product. If it is well below, you may be underpricing.
Use the target profit field to jump straight to the price you need. For shipping choices, see Etsy shipping and profit.
Frequently asked questions
What is a good profit margin on Etsy?
Many handmade sellers aim for 30% to 50% of the price after materials, fees and postage, before paying for their own time.
Should I include my time in Etsy prices?
Yes. Pricing without labour makes it hard to grow and often means working below minimum wage.
Run your next sale through the calculator before you commit.
Open the Etsy US fee calculatorRelated guides
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