Dropshipping Profit Calculator
Instantly calculate your dropshipping profit margins accounting for supplier costs, ad spend, and platform fees. Updated for 2026.
On a $35 dropshipped product with a $12 supplier cost, a hypothetical 5% platform fee, the default payment gateway, no delivery cost and $5 of ad spend per order, you keep $14.93 (42.7% margin). Break even at $18.78 — below that, every order costs you money.
Your product
Edit to calculateRevenue per order
Costs per order
Monthly
Fixed costs stay in monthly totals, not per-order margin.
Dropshipping settings
Your results
Save this scenarioPer order
After Dropshipping fees, product and shipping costs, and $5.00 of ad spend per order. Monthly plan and storage costs are handled below.
Where your money goes
Per month at 50 ordersMonthly totals
Your saved scenarios
Stored in this browser only — nothing is uploaded, and there is no account to create.
The sale price where one order nets exactly zero — covering percentage fees, per-unit and flat fees, your costs, and this order's share of ad spend.
Needed to cover $250.00 of monthly ad spend and fixed costs. You're planning 50.
Ad economics
An order can pay at most its contribution — revenue after fees and variable costs — to win a customer. Spend more than that and the order is bought at a loss.
You can pay up to $11.73 per order in ads and still break even — currently $5.00.
How Dropshipping Profit Works
Dropshipping can be highly profitable, but only if you understand your numbers. Between supplier costs, shipping, marketing, and platform fees, it's surprisingly easy to operate at a loss without realizing it. A clear profit calculation is essential before you scale.
The dropshipping model means you never hold inventory, but you also have less control over costs. Your supplier determines your cost of goods and shipping, while your marketing spend — typically Facebook, TikTok, or Google Ads — is often your largest variable expense. On top of that, if you sell through a marketplace like eBay or Etsy, use that channel’s published fee schedule rather than a generic percentage.
Our Dropshipping Profit Calculator helps you see the full picture. Enter your selling price, supplier cost, shipping, and marketing spend to instantly see your profit margin. Adjust the platform fee percentage to match your selling channel, and use the pre-loaded scenarios to model different product and ad spend combinations.
How to calculate dropshipping profit after ads
Start with the order revenue: item price plus shipping paid by the buyer. Subtract supplier cost, your delivery cost, channel fees, and advertising cost per order. Divide the remaining profit by order revenue and multiply by 100 to get your margin. Monthly advertising cost per order is your ad spend divided by the orders that budget supports.
For the $25.00 product in our first example, supplier cost is $8.00 and delivery is $3.00. The hypothetical 5% channel charge is $1.25; the default payment gateway adds $1.03, making combined channel and payment fees $2.28. A $250.00 monthly ad budget across 50 orders adds $5.00 per order. That leaves $6.73 profit per order, a 26.9% margin, and $336.25 over the month before additional overhead and taxes. Click the first example above to reproduce these numbers. Displayed fees are rounded to cents; profit calculations use unrounded estimates.
Break-even ROAS and maximum ad cost
For that same product, revenue minus supplier cost, delivery and fees leaves $11.73 available for acquisition. Break-even ROAS is order revenue divided by that contribution: $25.00 ÷ $11.73 = 2.13×. Spending the full amount leaves zero contribution for overhead or owner pay, so a profitable target needs a lower acquisition cost.
Open Break-even & ads in the calculator for your acquisition limit and break-even ROAS. Open Target price to solve for the selling price you need. These are scenario estimates: ad-attributed revenue may differ from store revenue, and returns, discounts and fixed costs can change the result.
The generic channel percentage is an assumption you supply, charged separately from your selected payment gateway. If your channel rate already includes payment processing, choose No separate gateway to avoid counting it twice. For Shopify’s plan cost and card-processing rules, use the Shopify profit margin calculator. For category-specific marketplace fees, use the marketplace fee comparison. See the dropshipping versus inventory guide for a fuller comparison of costs.
Frequently Asked Questions
What is a good profit margin for dropshipping?+
How much should I spend on ads for dropshipping?+
What platform fees should I expect?+
How many orders do I need to cover my ad spend?+
Related reading
The other 7 calculators
Etsy
Listing, transaction, and payment fees on the full order — plus Offsite Ads and refunds.
Shopify
Every plan at its own card rate, third-party gateway fees, apps, and chargebacks.
Amazon FBA
Referral fees by category, FBA or merchant fulfilment, the fuel surcharge, and storage.
eBay
Final value fees by category, the per-order fee, and insertion costs past the free allowance.
Walmart
Referral fees across all 32 contract categories, including price-band rates, plus WFS.
TikTok Shop
Referral commission and creator affiliate cuts, netted against ad spend.
Print on Demand
Base cost, provider shipping, and the real fees of whichever channel you sell on.
Compare across platforms
Same product, different platforms — and very different take-home. See how this scenario stacks up on the other marketplaces, or read the side-by-side fee table.