The margin after fees calculator shows your true profit after accounting for platform fees and payment processing costs. This is one of the most critical calculations for ecommerce businesses selling on platforms like Amazon, Etsy, Shopify, or eBay.
Many sellers underestimate how much fees reduce profitability. A product that appears profitable before fees can quickly become unprofitable once transaction costs are included.
This calculator helps you understand your real margin so you can price correctly, avoid hidden losses, and build a sustainable business model.
The result shows how much profit remains after fees are deducted, along with your true margin percentage.
For example, a 30% margin after fees means that £0.30 of every £1 sale is actual profit after all costs and fees are paid.
If your margin is too low, your business may struggle to scale profitably, especially when advertising or increasing costs.
Formula:
Fees = Price × Fee %
Profit = Price − Fees − Cost
Margin = Profit ÷ Price × 100
This ensures that all transaction-based costs are included in your profit calculation.
Understanding your true margin after fees is essential for long-term profitability.
Example 1:
Price = £50
Cost = £30
Fee = 10%
Fees = £5
Profit = £15
Margin = 30%
Example 2:
Price = £25
Cost = £16
Fee = 6.5%
Profit ≈ £7.37
Margin ≈ 29.48%
Example 3 (Ecommerce):
Price = £40
Cost = £22
Fee = 12%
Profit = £13.20
This shows how fees significantly impact profitability.
Your real profit margin after all fees are deducted.
Yes, they can significantly reduce profitability.
No, ignoring fees leads to incorrect pricing and losses.