Free tool
Break-even calculator.
How many sales until your Etsy shop stops costing you money? Enter what you spent and what you sell for.
Materials bought in bulk, equipment, packaging supplies, subscriptions, shop setup
Etsy charges 6.5% on this too
Include Offsite Ads fee
Under $10K/year → 15% (optional)
Over $10K/year → 12% (mandatory)
You break even after
18
sales at $25.00
That is $540.00 in total orders
Buyer pays (item + shipping)
$30.00
Listing fee
$0.20 flat
-$0.20
Transaction fee
6.5% of item + shipping
-$1.95
Payment processing
3% + $0.25
-$1.15
Material cost
-$6.00
Shipping you pay
-$4.00
You keep
$16.70
Every sale puts $16.70 toward your fixed costs. Once 18 orders are in, everything after that is profit.
How break-even works on Etsy
Break-even is not about profit margin. It is about one number: how much of each sale is left over to pay back what you already spent.
Start with what the buyer pays
Item price plus the shipping you charge. Etsy treats both as your revenue, and charges fees on both.
Subtract Etsy's cut
$0.20 listing fee, 6.5% transaction fee, 3% + $0.25 payment processing, and Offsite Ads if the sale came through one.
Subtract what the order actually cost you
Materials, packaging and the real postage you paid — which is often more than what you charged the buyer.
Divide your fixed costs by what is left
That is your break-even point. Every sale after it is real profit rather than paying yourself back.
The mistake that hurts most: charging less for shipping than it costs you. That gap comes out of every single order, and it pushes break-even further away with each sale.
Frequently asked questions
How do I calculate break-even for my Etsy shop?
Work out what you keep from one sale after Etsy fees, materials and shipping. Then divide your fixed costs by that number. If a mug leaves you $8 after everything and you spent $240 on supplies, you break even on the 30th sale.
What counts as a fixed cost on Etsy?
Anything you paid once, or pay monthly regardless of how much you sell: bulk material orders, equipment, packaging supplies, a Cricut or printer, shop branding, and any subscriptions you run. Per-item material cost is not a fixed cost — that goes in the per-sale section.
Does Etsy charge fees on shipping?
Yes. The 6.5% transaction fee applies to the shipping amount you charge the buyer, not just the item price. This is the fee most sellers forget, and it moves your break-even point further out than expected.
Why does the calculator say I never break even?
It means each sale loses money — Etsy fees plus your material and shipping costs add up to more than the buyer pays. Selling more units makes the loss bigger, not smaller. Raise your price or cut costs before scaling.
Should I include Offsite Ads in my break-even?
Include it if a meaningful share of your sales come through Offsite Ads. The fee is 15% for shops under $10,000 a year (optional) and 12% above that (mandatory). Since it only applies to some orders, many sellers calculate break-even both ways to see the range.
Break even sooner.
Sell more per listing.
Better product photos and listings mean more sales across the same fees — which pulls your break-even point closer.
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This calculator uses standard Etsy fee rates for US sellers and is provided for estimation only. Rates vary by country and change over time — check your Etsy Payment account for exact figures.