Selling Price Calculator

This calculator works out what to charge so that, after payment or marketplace fees, you keep the profit margin you want. Adding the margin percentage to your cost is a common mistake: a 30% margin needs more than a 30% markup, and percentage fees are taken from the price itself. Enter your costs, the fees you pay and a target margin to get the price before and after sales tax or VAT.

How to use this tool

1. Enter the cost of one unit and any other costs you pay on each sale.
2. Enter your target profit margin.
3. Enter the percentage and fixed fee, and choose whether the percentage is charged on the tax-inclusive total or the price before tax.
4. Add a sales tax or VAT rate if you quote prices including tax.

Formula

Effective fee rate = Fee rate × (1 + Tax rate) if charged on total; otherwise Fee rate

Price = (Cost + Other costs + Fixed fee) ÷ (1 − Effective fee rate − Margin rate)

Price with tax = Price × (1 + Tax rate)

Break-even price = (Cost + Other costs + Fixed fee) ÷ (1 − Effective fee rate)

All rates in the formulas are decimals. Margin uses revenue before tax. Tax itself is passed through, but a processor can charge fees on that tax too. Choose the correct basis. Prices are unrounded thresholds; round a quote upward to cents and allow for transaction-fee rounding.

Example

A product costs $20, plus $3 for packaging and postage. The marketplace takes 3% + $0.30 per sale and you want a 30% margin. Price = $23.30 ÷ (1 − 0.03 − 0.30) = $34.78. The fees on that price are $1.34 and the profit is $10.43 — approximately 30% after displaying cents of the price and a 45.36% markup on your $23 of costs. The break-even price is $24.02.