Dropshipping
Dropshipping Margin Calculator
See what you really keep on one dropshipping order after the supplier, the shipping you pay, and the payment fee — before ad spend and monthly subscriptions.
The margin percentage is profit divided by selling price, so a $18 profit on a $35 sale is a much stronger margin than the same $18 on a $60 sale. Compare products on margin, not just on dollars kept.
Formula
Profit per order = selling price − supplier product cost − shipping cost you pay − payment fee, where payment fee = (payment fee rate × selling price) + fixed fee per order. Margin = profit per order ÷ selling price × 100.
How it works
Enter the price the buyer pays, what the supplier charges for the product, what shipping costs you (including any supplier shipping charge), and your payment fee as a rate plus a fixed amount per order. Dropshipping has no single fixed platform fee, so the payment fee here is an input from your own payment statement, not a published rate — the worked example uses 2.9% plus $0.30 only as example inputs.
Worked example
Selling price $34.99, supplier cost $11.00, shipping $4.50, payment fee 2.9% plus $0.30. Payment fee = 2.9% of $34.99 = $1.01, plus $0.30 = $1.31. Profit = $34.99 − $11.00 − $4.50 − $1.31 = $18.18 (rounded). Margin = 51.9%, calculated on unrounded figures. That margin is before ad spend and before monthly store and app subscriptions, which are covered by the companion calculators below.
FAQs
Does this margin include ad spend?
No. This page shows the margin before advertising. Enter your ad spend per order in the Dropshipping Break-Even Calculator or the Dropshipping Ad Spend Calculator to see what is left after ads.
Why is the payment fee an input instead of a fixed number?
Because dropshipping sellers use different payment providers and plans, and each provider's rate differs. Enter the rate and fixed fee from your own payment statement so the result matches your store.
Should shipping charged to the buyer go in here?
Only the shipping cost you pay belongs here. If the buyer pays you for shipping, add that amount to the selling price instead, so the payment fee is calculated on the full amount the buyer pays.
What is a good dropshipping margin?
There is no universal good number: a product that needs heavy advertising needs a bigger margin than one that sells on its own. Judge the margin together with your ad cost per order, not on its own.
Does this include monthly store or app costs?
No. Monthly subscriptions are spread across all your orders, so they belong in the Dropshipping Subscription Cost Calculator, which shows their per-order effect.
Stand: October 2026. Pure arithmetic — no platform rate is used; enter your own figures.
Sources: This calculator uses no published platform fee — every cost is an input from your own supplier invoices and payment statements. To work out the payment-fee input, see the Payment Processing Fee Calculator.
Disclaimer: Results are estimates and general information only, not financial advice. Dropshipping has no single fixed platform fee, so every cost on this page is one you enter from your own supplier invoices, shipping bills and payment statements — check those documents before you set a price.
Related calculators
Dropshipping Break-Even Calculator
Dropshipping Ad Spend Calculator
Instant result, no sign-up.
All tools are free.
Each page shows the formula it uses, so you can check the result yourself.
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Price your next product with confidence
Run the margin before you list, so a cheap supplier price never hides an expensive shipping bill.