E-commerce

Shopify Profit Margin Calculator

Accurately calculate your net profit and profit margin on Shopify products, accounting for plan fees, payment processing, shipping, returns, and ad spend.

How It Works

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Step 1: Select Your Plan

Choose your Shopify plan and payment gateway to auto-fill your processing fees.

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Step 2: Enter Costs

Input your selling price, product cost, shipping, returns, and marketing spend.

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Step 3: Get Insights

See your profit margin, break-even price, and colored guidance on profitability.

Why Profit Margin Matters

Profit margin is the percentage of revenue you keep after all costs. On Shopify, these costs include:

  • Payment processing: Shopify's transaction fee + gateway fee
  • Product cost: Your cost of goods sold (COGS)
  • Shipping: What you pay to ship vs. what customers pay
  • Returns: Lost product cost + handling fees
  • Marketing: Ad spend and promotional costs

A healthy Shopify profit margin is typically 20% or higher. Below 10% leaves little room for unexpected costs or market changes.