🧵 Etsy Fee Calculator

Selling on Etsy involves three fees: (1) a listing fee of $0.20 per item listed (valid 4 months or until it sells), (2) a transaction fee of 6.5% (calculated on item price x quantity + shipping), and (3) an Etsy Payments processing fee of 3% + $0.25 (on the same total). For example, a $50 item plus $5 shipping totals $55: transaction fee = 55×0.065 = $3.575, payment fee = 55×0.03+0.25 = $1.90, plus the $0.20 listing fee brings total fees to about $5.68, leaving a net payout of about $49.33.

(1) Sales driven by Offsite Ads carry an additional advertising fee (12-15% depending on your trailing annual revenue), so growing organic/social traffic reduces this exposure. (2) Folding shipping into the item price and offering "free shipping" can help search visibility, but since transaction and payment fees are calculated on the same combined total either way, your overall fee amount won't change. (3) Combining multiple items into a single order reduces how much the flat $0.25 payment fee weighs per item.

To hit a target net profit, account for Etsy's combined fees (roughly 9.5-10% of the total plus the listing fee) when setting your price. A common workflow: use the Margin Calculator to find your target sale price from cost, then use this calculator to confirm the resulting net payout after Etsy fees matches your expectation.