Who it’s for
Sellers whose Etsy Payments bank account is in the United States and who list prices in US dollars. Other countries have different payment processing rates, and some add a regulatory operating fee, so the results would be wrong for them.
The calculation
Order value = item price × quantity + shipping charged + gift wrap
Transaction fee = 6.5% × order value
Processing fee = 3% × (order value + sales tax) + $0.25
Listing fee = $0.20 × quantity
Offsite Ads fee = 15% or 12% × order value, at most $100 (only if the order came from an Etsy offsite ad)
Profit = order value − Etsy fees − (item cost × quantity + shipping label + packaging + other costs)
Margin = profit ÷ order value
Break-even price = the lowest item price where profit ≥ $0.00, everything else unchangedSales tax is collected and paid by Etsy, so it is not counted as income. It matters only because the processing fee is charged on the total including tax. The listing fee is counted per item sold because a multi-quantity listing renews at $0.20 each time an item sells.
Pricing calculator
The pricing calculator uses the same fees and costs in reverse. It finds the lowest item price, in whole cents, at which one order reaches your target:
Profit target lowest price where profit ≥ target
Margin target lowest price where profit ÷ order value ≥ target (targets below 90%)Because each fee is rounded to the cent, raising the price by one cent occasionally leaves profit unchanged or a cent lower. The search therefore checks every cent just below its answer, so the result is the true lowest qualifying price. The break-even price uses the same search with a $0.00 target. Margins of 90% or more are refused: the transaction and processing fees alone take 9.5% of every order.
Fee rates
| Fee | US rate | Charged on |
|---|---|---|
| Transaction fee | 6.5% | Item price + shipping you charge + gift wrap. Not on sales tax. |
| Payment processing | 3% + $0.25 per order | The order total, including shipping and sales tax |
| Listing fee | $0.20 per item sold | Each listing, and each automatic renewal after an item sells |
| Offsite Ads fee | 15%, or 12% for shops past $10,000 in sales | Item price + shipping + gift wrap, only on orders from an Etsy offsite ad. Max $100 per order. |
Worked example
You sell a print for $25.00 and charge $5.00 for shipping. The print costs you $8.00 to make and the label costs $4.50. The sale did not come from an Offsite Ad.
| Buyer pays (item + shipping) | $30.00 |
| Transaction fee — 6.5% × $30.00 | −$1.95 |
| Payment processing — 3% × $30.00 + $0.25 | −$1.15 |
| Listing fee | −$0.20 |
| Item cost and shipping label | −$12.50 |
| Profit | $14.20 |
Etsy fees come to $3.30, or 11.0% of what the buyer paid. The margin is 47.3%. With the same costs, any price below $9.31 loses money.
Rounding
All amounts are calculated in whole cents. Each fee is rounded to the nearest cent, half a cent rounding up. Etsy doesn’t publish its rounding method, so your statement may differ by a cent.
Not included
- Income tax and self-employment tax on your profit.
- Etsy Ads (on-site ads) — you set a daily budget, so there is no per-order rate. Add your own estimate under “Other costs”.
- Etsy Plus ($10 per month) and Pattern ($15 per month) subscriptions, and any one-time shop set-up fee.
- Listing renewals for items that don’t sell (listings expire after four months and renew at $0.20).
- The 2.5% currency conversion fee, which applies only if you list in a currency other than your payment account’s.
- Refunds and partial refunds. Etsy recalculates the processing fee on the adjusted amount.
- Shipping label insurance and signature confirmation, unless you include them in the label cost.
- Coupons and Etsy-funded promotions. Enter the price the buyer actually pays as the item price; check the fee lines on your order if a coupon was used.
Sources
Rates are read directly from these Etsy pages. When Etsy updates them, the calculator and the date above are updated.
- Etsy Fees & Payments Policy — page last updated 2026-10-05, checked 2026-10-12
- Etsy Payments Policy (payment processing fees by country) — page last updated 2026-07-31, checked 2026-10-12
- Etsy Help: Etsy Fee Basics — checked 2026-10-12
- Etsy Help: What is a Regulatory Operating Fee? — checked 2026-10-12
Found a mistake?
If a number doesn’t match your Etsy statement, please tell us — include the order details and the fee lines Etsy shows.