Profit Margin Calculator for Etsy

Q: How do I include Etsy Ads?

Enter it as PPC / ad cost per unit. It is optional but real — ignore it and the margin overstates.

Etsy takes a 6.5% listing fee plus Etsy Payments on the sale. Add your shipping, handling, COGS, ad spend and returns to see the net margin per order.

Etsy's fee blend

A marketplace fee plus a payment fee — and ads you opt into.

Etsy charges a 6.5% transaction fee on the total (including shipping) plus Etsy Payments (about 3% + $0.25 in the US). There's also a one-time $0.20 listing fee per item — negligible per unit at volume, so it's left out of the per-unit model; add it if you list infrequently. Etsy Ads is optional and modeled as PPC.

Enter your shipping to customer and handling, COGS, PPC (Etsy Ads) and a returns allowance. Landed/import duty prefills from the Import Duty tool.

Worked example

Price $29.99, COGS $7.50, shipping $3.50, handling $1.50, landed $0, PPC $2.00, returns 3%, Etsy fee 6.5%, Etsy Payments 3% + $0.25:

Line	Amount
Etsy fee (6.5%)	$1.95
Etsy Payments (3% + $0.25)	$1.15
Shipping to customer	$3.50
Handling / fulfilment	$1.50
COGS + PPC + landed	$9.50
Returns allowance (3%)	$0.90
Net profit / unit	$11.49 (38.3% margin)

Etsy's ~9.5% combined fee is lighter than eBay or Amazon — but only if you keep shipping and ads real.

Etsy — FAQ

What fees does Etsy charge?

A 6.5% transaction fee on the total (including shipping) plus Etsy Payments (~3% + $0.25 in the US). A one-time $0.20 listing fee per item is omitted from the per-unit model at volume.

How do I include Etsy Ads?

Enter it as PPC / ad cost per unit. It's optional but real — ignore it and the margin overstates.

Is the 6.5% fee on shipping too?

Yes — Etsy's transaction fee applies to the total amount the buyer pays, including shipping. Free-shipping promises still carry that fee on the bundled price.