How the Shopify profit is worked out
Payment fee = price × payment fee % + fixed fee Shopify transaction fee = price × plan fee % (only with a third-party provider) Profit = price − product cost − payment fee − Shopify transaction fee − shipping − ad cost per order Net margin = profit ÷ price · Markup = (price − product cost) ÷ product cost Price for a target margin = (product cost + fixed fee + shipping + ads) ÷ (1 − target margin − fee %)
Example: a $50 product that costs $20, on Basic with Shopify Payments (2.9% + 30¢), $6 shipping and $5 of ads per order. Fees are $1.45 + $0.30 = $1.75, so profit is $50 − $20 − $1.75 − $6 − $5 = $17.25, a 34.5% net margin and a 150% markup on product cost.
Plan rates: Shopify pricing (checked 28 September 2026). Holiday discounts next: the Black Friday discount calculator.
Questions
What fees does Shopify take from each sale?
With Shopify Payments on the Basic plan, US online card payments cost 2.9% + 30¢ (Grow 2.7% + 30¢, Advanced 2.5% + 30¢). If you use a third-party payment provider instead, Shopify adds a transaction fee of 2% on Basic, 1% on Grow or 0.6% on Advanced, on top of that provider's own fee.
What is a good profit margin on Shopify?
It depends on the product and how you get customers. What matters is the margin left after payment fees, shipping and ads, because that pays for everything else. If it's thin, a small rise in ad costs wipes it out.
Does the monthly Shopify plan count?
It's a fixed cost, not a per-order fee. To see it per order, enter the monthly plan price and your orders per month; the calculator spreads it across your orders.
Is this calculator made by Shopify?
No. It's an independent calculator. Shopify is a trademark of its owner. Check your plan's current rates in your Shopify admin.