Why might the break-even price show an em dash?

If combined fee and return percentages are so high that the model cannot find a stable solution, for example when they approach or exceed 100 percent of the subtotal, the break-even price is left blank and shown as an em dash.

TikTok Shop Fee & Profit

Q: What fees does this TikTok Shop calculator include?

The calculator includes TikTok Shop commission on the discounted subtotal, your payment processing percentage and any fixed fee, an expected return impact, and your own product, shipping, and other per-order costs in USD.

Q: What does the return rate input do?

Return rate reduces expected profit per order by Return% multiplied by the remaining margin after variable costs, approximating the impact of refunds on overall profitability.

Q: Can I include ad spend in the calculation?

Yes. Add your average ad cost per order into the Other per-order cost field to see a blended contribution margin after ad spend.

Estimate TikTok Shop profit and margin in USD

Step 1 · Price and base costs (USD)

Item price (USD) Price the buyer sees on TikTok, in USD. Product cost (USD) Cost of goods per unit. Shipping & packaging (USD) Average shipping and packing per order. Other per-order cost (USD) Any other recurring cost per order.

Step 2 · Discounts, platform fees, and returns

Discount / coupon (%) Percent taken off item price. TikTok Shop commission (%) Marketplace fee on the discounted subtotal. Payment processing fee (%) Card or wallet percentage. Payment fixed fee (USD) Optional fixed charge per order. Return rate (%) Expected returns as % of orders.

TikTok Shop profit summary

Enter your price, costs, and fees · USD per order

Estimate net profit per order, margin %, and a break-even price in USD from your TikTok Shop price, costs, fees, and returns.

Assumptions: Subtotal = price × (1 − discount%). Commission = subtotal × commission%. Payment fee = subtotal × payment% + fixed fee. Variable costs = product cost + shipping/packaging + other cost. Return impact = return% × max(0, subtotal − variable costs). Net profit = subtotal − commission − payment fee − variable costs − return impact. Margin% = net profit ÷ subtotal. All in USD.

Updated: September 23, 2025

TikTok Shop profit calculator FAQs

What fees does this TikTok Shop calculator include?

The tool includes TikTok Shop commission on the discounted subtotal, your payment processing % plus any fixed fee, and an expected return impact. You also enter product cost, shipping/packaging, and any other per-order cost in USD.

How should I handle discounts and coupons?

Enter your discount or coupon as a percent off the item price. The calculator applies all fees to the discounted subtotal, which better reflects what happens at checkout when you run promotions.

What does the return rate input do?

Return rate reduces expected profit by a small amount per order: Return% × max(0, subtotal − variable costs). That models refunds and lost margin on a portion of orders without needing a full returns spreadsheet.

Can I include ad spend in the calculation?

Yes. Add your average ad cost per order (for example from Spark Ads or creator whitelisting) under “Other per-order cost.” That gives you a blended contribution margin after ads.

Why might the break-even price show “—”?

If fees and returns are so high that the model cannot find a stable solution—for example, fee and return percentages add up to 100% or more of the subtotal—the break-even calculation is suppressed and shown as an em dash.

How to use this TikTok Shop profit calculator

1. Start with a realistic USD price

Enter the item price in USD that buyers see on TikTok Shop. Use the price you actually plan to run—not a theoretical list price—so the margin result matches real offers.

2. Add product cost, shipping, and other per-order costs

Fill in product cost, shipping & packaging, and other per-order cost. These fields capture your average cost of goods, postage and packing, and any other recurring spend per order in USD.

3. Layer in discounts and marketplace fees

Use the discount field for percent off promotions. Then add your TikTok Shop commission % and payment processing % plus fixed fee. The calculator applies these fees to the discounted subtotal, mirroring how checkout and payouts usually work.

4. Estimate returns and read your profit summary

Add a realistic return rate to reflect refunds. After you calculate, the summary shows net profit per order, margin %, and a break-even price in USD. That gives a quick check on whether a product is worth running on TikTok Shop.

5. Use the numbers to tune pricing and promos

Test different combos of price, discount, and fees. Small changes to shipping, ad spend per order, or commission can shift your margin a lot. If the break-even price is close to your current price, you may need to adjust offers or costs.

How the TikTok Shop fee and profit math is approximated

Let P be your item price in USD, d your discount or coupon rate as a decimal (for example, 0.10 for 10%), and S the subtotal after discount:

S = P × (1 − d).

Let C be product cost, H shipping and packaging, and O other per-order cost. Variable costs per order are:

Variable costs = C + H + O.

Commission is a percentage of the subtotal: if c is the commission rate as a decimal, commission = S × c. Payment fees combine a percentage and a fixed amount:

Payment fee = S × p + F, where p is the payment percent as a decimal and F is the fixed fee in USD.

If r is the return rate as a decimal, the model reduces profit by:

Return impact = r × max(0, S − Variable costs).

Net profit per order is then:

Net profit = S − commission − payment fee − Variable costs − return impact.

Margin percentage is Net profit ÷ S, expressed as a percent. The break-even price is the price where net profit is zero; the tool solves this in terms of your percent rates and cost inputs. All outputs are shown in USD and rounded to two decimal places. Treat them as planning estimates rather than official fee tables or tax advice.