Your product
Monthly view (optional)
Your profit
Taxes such as sales tax, VAT or GST and income tax are not included.
How to use the numbers
- Check the margin before you advertise. If profit is thin before ads, ads will make it negative.
- Know your max ad cost per sale. It is the most you can pay for each order and still break even.
- Watch your ROAS. If your ad platform reports a ROAS below your break-even ROAS, you are losing money on those sales.
- Compare suppliers. A slightly dearer supplier with local stock can still win if faster delivery means fewer refunds. See the comparison.
Frequently asked questions
How do I calculate dropshipping profit?
Profit per order = selling price − product cost − supplier shipping − payment and platform fees − refunds − other costs − ad cost per sale. The calculator does this and shows your margin.
What is break-even ROAS?
Return on ad spend (ROAS) is revenue ÷ ad spend. Break-even ROAS is the lowest ROAS at which you don’t lose money: price ÷ (price − all costs except ads). Below it, ads cost more than the profit they bring.
What fee percentage should I enter?
Use the actual rates for your store plan and payment provider, which vary by plan, country and card type. Check your platform’s pricing page; the defaults here are only placeholders.
Why include refunds?
Some orders get refunded or returned. Setting aside a small percentage of each sale keeps your profit estimate realistic.