Shopify Gross Profit calculator

Estimate your per‑order gross profit on Shopify. Adjust price, costs and fees to see the impact on gross profit (GP) and a simple net profit (NP) estimate.

Fees:
Rates are indicative and vary by market and method. Confirm in Admin → Settings → Payments. If you use a third‑party gateway, include its extra %.

Disclaimer: This tool provides general guidance only. Figures are estimates based on the inputs you provide and indicative defaults that may be out of date. Fees, taxes, exchange rates and provider policies vary by region and can change without notice. You are responsible for verifying all inputs and outputs before making any decisions. eCom School provides this tool “as is” without warranties and accepts no liability for any loss or damages arising from its use. This is not financial, legal or tax advice. “Shopify” and “Shopify Payments” are trademarks of Shopify Inc.; no affiliation or endorsement is implied.

How to use this calculator

Enter your typical sell price and costs. Adjust card fees to match your market, add a small refund %, and (optionally) a rough overhead per order to see a simple net profit estimate. Use the break‑even price to set discount floors and free‑shipping thresholds.

Product Profit Calculator (Shopify, EU)

Work out your per‑order profit on Shopify. Enter price, COGS, shipping and fees to see gross profit (GP), GP%, break‑even price and simple projections. EU defaults are pre‑filled; toggle tax for VAT‑inclusive pricing.

What to include in GP on Shopify

  • Selling price minus discounts
  • Cost of goods sold (COGS): product, packaging
  • Payment fees: Shopify Payments % + per‑order fee; any third‑party gateway add‑on %
  • Fulfilment costs: pick/pack, label, postage (minus any shipping the customer pays)
  • Refunds/returns impact: lost fees, return shipping, restock where relevant

Simple GP formula (per order)

GP = (Price − Discounts + Shipping paid by customer) − (COGS + Payment fees + Fulfilment costs)

Important:
Fees vary by market and payment method. Use the calculator to model your own rates, then verify in Admin → Settings → Payments.

What affects your GP the most

  • Discount depth: deeper discounts reduce net price and grow fees proportionally
  • COGS and postage: small changes compound over volume
  • Refund rate: even a few % can erase margin on thin‑margin items
  • Payment method mix: third‑party gateways add extra % on each order

From GP to a simple NP estimate

Net profit (NP) subtracts overheads (apps, salaries, rent, utilities, fixed ops) from GP. In the calculator you can include a rough per‑order overhead to see how close you are to true profitability.

Common actions to improve GP

  • Set free‑shipping thresholds to lift AOV above postage break‑even
  • Promote high‑margin bundles; avoid discounting low‑margin heroes
  • Switch to cheaper packaging that still protects the product
  • Negotiate carrier and supplier rates; test fulfilment options
  • Reduce refund drivers with accurate sizing, media and product education

Market specifics — European Union

  • Currency: EUR (€). Per‑order fee often ~€0.25; percentage varies by country.
  • VAT: OSS/IOSS rules apply for cross‑border sales. VAT is a pass‑through; do not include it in GP. Ensure your pricing is VAT‑inclusive where required.
  • Payment fees: Example snapshot 1.8% + €0.25. Check your country’s rate via Shopify pricing (EU).
  • Gateways: Add any external gateway surcharge under 3rd‑party add‑on %.
  • Fulfilment: Cross‑border postage and returns costs can be higher; model a typical EU parcel plus return shipping where applicable.

Example — EU numbers

Price €40, 5% discount, COGS €14, customer pays €4 shipping, your fulfilment costs €5. With 1.8% + €0.25 card fees and 2% refunds, review GP and NP estimates.

FAQs

Does Shopify refund payment fees on returns?

Card fees are typically not refunded. Model a small refund rate to see its impact on realised gross profit.

Should I include marketing costs in GP?

No. Keep GP for product and fulfilment costs. Marketing spend belongs in your CAC/ROAS analysis and affects net profit.

What’s a healthy GP%?

It varies by category. Many DTC stores aim for 50–70% GP before overheads. Focus on improving your own baseline while staying competitive.