Handmade Pricing Calculator

Most handmade sellers price by looking at what everyone else charges, then knocking a dollar off. That works until the fees, the packaging and the hours catch up. This calculator starts from what one item really costs you: the share of each pack of material it uses, the minutes you spend on it at a wage you choose, and a fair slice of the monthly bills that keep the workshop running. Then it works backwards through your sales channel's fees to the price that leaves the profit you asked for.

The example is an 8 oz soy candle sold on a marketplace. Replace the materials with your own, and the answer moves as you type.

Questions this tool gets asked

How do I price a handmade product?

Add up what one item costs you: the materials it uses, packaging, any shipping you cover, your time at an hourly rate, and a share of your monthly running costs. Then work backwards through the fees: price = (cost + fixed fees per sale) / (1 - fee % - profit target %). The example candle costs $14.13 to make; with 9.5% plus $0.45 in fees and a 35% profit target it comes out at $26.28.

What is a break-even price?

The lowest price at which a sale does not lose money once the channel has taken its fees. It covers every cost, including your time, and leaves nothing over. The example candle breaks even at $16.12. Selling below it means paying to sell.

Why not just add 35% to my costs?

Because sales fees are taken from the price, not the cost, and a markup on cost is not a margin on price. Marking the $14.13 candle up 35% gives $19.09, but after fees that sale keeps $2.69, about 14% of the price. This calculator sets the price so the target share is what you actually keep.

What hourly rate should I pay myself?

Use a rate you would accept for the same hours doing other work. Pricing your time at zero makes the numbers look good, but it means the business can never pay for help, and every order you add is unpaid work. You can always sell below the suggested price on purpose; the calculator shows you what that costs.

What counts as running costs?

Anything you pay every month to stay open, whether or not you sell: software and subscriptions, listing renewals, studio or storage space, tools and equipment wear, and your website. Divide the total by the items you make in a typical month. The example is $150 over 60 items, $2.50 per item.

Why does the shelf price end in .99?

A price just under a round number is the usual retail habit. The calculator always rounds up to the next .99, never down, so the shelf price keeps at least the profit you asked for: $26.28 becomes $26.99.

What fees should I enter for my sales channel?

The presets are typical examples. The marketplace preset is 9.5% plus $0.45 a sale: a 6.5% transaction fee and 3% card processing, plus a $0.20 listing fee and $0.25 per card payment, a common structure for large handmade marketplaces. Advertising programs can take more. Check your own statements, type in the real figures, and the price updates.

Does anything I enter leave my browser?

No. The maths runs in this tab, your entries are remembered in this browser's local storage only, and the page works offline once loaded. Nothing is uploaded.

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