TikTok Shop
TikTok Shop Shipping Subsidy Calculator
Work out your net shipping cost per order on TikTok Shop, after what the buyer pays and any subsidy you receive.
Subsidy note: this calculator takes any subsidy as your input and defaults to $0, because TikTok Shop ended its Co-Funded Free Shipping subsidies on May 29, 2025 (official Seller University FAQ). Do not use the old $0.80 or $0.75 figures unless you hold a current arrangement confirmed in Seller Center.
Formula
Net shipping cost per order = carrier shipping cost − shipping paid by buyer − TikTok subsidy per order. Total net shipping cost = net cost per order × number of orders.
How it works
Enter the number of orders, what each shipment costs you, what the buyer pays toward shipping and any subsidy you currently receive. The calculator shows what you still pay per order and across all orders, so free shipping offers can be priced with the real gap, not a guessed one.
Worked example
80 orders at a $6.50 carrier cost, with the buyer paying $4.95 and no subsidy: net cost per order = $6.50 − $4.95 − $0.00 = $1.55. Total net shipping cost = $1.55 × 80 = $124.00. If you offered free shipping instead, the buyer-paid figure would be $0 and the net cost would be the full $6.50 per order, or $520.00 across 80 orders.
FAQs
Does TikTok Shop still subsidise shipping?
No general subsidy remains under the current Free Shipping program. TikTok Shop ended Co-Funded Free Shipping on May 29, 2025, discontinuing the $0.80 per-order subsidy for TikTok Shipping and Seller Shipping and the $0.75 per-item subsidy for Fulfilled by TikTok. Sellers now cover the shipping cost themselves.
What is the free-shipping threshold benefit then?
Shops offering shop-level free shipping with a threshold of $30 or less can gain extra exposure and campaign eligibility, according to TikTok Shop guidance. The benefit is visibility, not a per-order payment toward your carrier bill.
Should I enter the old $0.80 subsidy?
No. That subsidy ended on May 29, 2025. Enter $0 unless you hold a current, separate subsidy arrangement that you can confirm in Seller Center.
What if the buyer pays more than the carrier cost?
Then the per-order figure goes negative, meaning shipping income exceeds carrier cost on those orders. That surplus is real, but check that the buyer-paid figure is the shipping portion only, not the item price.
Does this calculator include the referral fee?
No. The referral fee is calculated on the item price plus buyer-paid shipping and is covered by the fee calculator. Add it separately when you work out full order profit.
Stand: October 2026. The 6% referral rate used here is not sighted on an official TikTok page.
Note: some third-party reports say the standard US referral rate rose to 8% from August 4, 2026. TikTok's published category table still lists 6% for most categories (revised May 2026). Check your own rate in Seller Center and change the rate field if it differs.
Sources: TikTok Shop Seller University — Free Shipping FAQ Guide (May 13, 2026). This official page confirms the end of Co-Funded Free Shipping and the discontinued $0.80 and $0.75 subsidies.
Disclaimer: Results are estimates and general information only, not financial advice. Fees change, so confirm the current rate in TikTok Shop Seller Center before you price a listing.
Related calculators
Shipping Cost Comparison Calculator
Instant result, no sign-up.
All tools are free.
Each page shows the formula it uses, so you can check the result yourself.
Built for phone browsers.
Price your next listing with confidence
Run the numbers before you list, so fees never eat your profit by surprise.