How this calculator works
Etsy takes its cut in four places: a listing fee, a transaction fee on the item and the shipping, payment processing, and — on attributed orders — an offsite advertising fee that is much larger than the rest combined.
Fee rates change, so they are inputs here rather than hard-coded. Check your current rates in Etsy’s fee schedule and enter them; the defaults reflect commonly published figures.
The formula
- Fee base = item price + shipping charged
- Transaction fee = fee base × transaction %
- Processing = fee base × processing % + fixed processing fee
- Expected offsite ad fee = fee base × ad rate × share of orders attributed
- Profit = item price + shipping charged − all fees − item cost − shipping cost
What to watch for
- Etsy charges the transaction fee on shipping as well as the item, which is why raising your shipping charge recovers less than it appears to.
- Offsite ads are modelled as an expected cost — the rate multiplied by the share of orders attributed — because they do not apply to every sale. Set the share from your own stats rather than guessing.
- The offsite ad fee on an attributed order is shown separately, because that is the number that matters when you are deciding whether a single sale was worth it.
- Fee rates are inputs, not constants. Etsy changes them, and a calculator with last year’s figures baked in is worse than no calculator.
Common mistakes
- Counting the 6.5% transaction fee and forgetting payment processing on top.
- Assuming fees apply to the item price only when shipping is included in the base.
- Applying the full offsite ad rate to every order, which overstates the cost dramatically.
- Ignoring the fixed fees on low-priced items, where they can be a tenth of the price.
Frequently asked questions
How much does Etsy take per sale?
Typically around 10% to 11% of everything the buyer pays, once the transaction fee, payment processing and the fixed fees are combined — plus a listing fee. If an order is attributed to offsite ads, that single order carries a much larger cut on top, which is why the expected cost depends on how many of your orders come through that channel.
Are Etsy fees charged on shipping?
Yes. The transaction fee and payment processing both apply to the item price plus the shipping the buyer paid. That is worth remembering when setting shipping charges: raising postage by a dollar recovers roughly ninety cents after Etsy takes its share of the increase.
How do offsite ads work?
Etsy advertises your listings on external sites and charges a percentage — commonly 12% or 15% — only on orders it attributes to those ads. Above a revenue threshold participation is mandatory. Because it applies to a minority of orders, this calculator weights it by the share you actually see rather than applying the headline rate to everything.
What should I price at on Etsy?
Divide your cost, plus any fixed fees, by one minus your target margin minus the blended percentage fee rate. The calculator does this in the "item price needed" figure. With around 10% in fees and a 35% margin target, expect to need roughly double your unit cost before shipping.