Etsy fees

Etsy Free Shipping Price Calculator

Free shipping is not free for you: the label still costs money, and Etsy charges its percentage fees on the higher price. Enter your postage to see how much to add so you end up with the same profit.

Your numbers

Live
Your current price, before adding postage.
What the shipping label costs you.
Only charged when the buyer came from an Etsy ad on another site.
Fee rates (change if your country differs)
On item price + shipping + gift wrap.
US rate. Other countries differ.
Add this to your item price—
New free-shipping price
—
Etsy fees on the added amount
—
Share of each extra dollar you keep
—
Postage share of the new price
—

Results update as you type. Nothing is sent anywhere.

Why you cannot just add the postage

If a label costs $4.50 and you add exactly $4.50 to the price, Etsy's 6.5% transaction fee and 3% processing fee are charged on that $4.50 too. You end up about 43 cents short on every order. The fix is to add a little more, so that what is left after the fees is exactly your postage.

Keep rate k = 1 − 6.5% − 3% [− Offsite Ads %] [− 2.5% conversion]
Amount to add = postage ÷ k
New price = old price + amount to add

The fixed fees ($0.20 listing and $0.25 processing) do not change, because you pay them once per order whether shipping is free or not.

Example: $4.50 postage, US rates

LineAmount
Keep rate (100% − 6.5% − 3%)90.5%
Amount to add ($4.50 ÷ 0.905)$4.97
Transaction fee on it (6.5%)−$0.32
Processing fee on it (3%)−$0.15
Left to pay the label$4.50

So a $25 item becomes $29.97 with free shipping. If the order came from an Offsite Ad at 15%, you would need to add $5.96 instead.

Tips

Check the full order in the Etsy fee calculator with shipping charged set to $0.

Frequently asked questions

Does Etsy charge fees on shipping?

Yes. Etsy's help page says the 6.5% transaction fee applies to the item price plus shipping and gift wrap, and payment processing is taken from the total sale price including shipping and sales tax. With free shipping, the same fees are charged on the higher item price instead.

Is free shipping worth it on Etsy?

Many buyers prefer a single all-in price. Whether it brings you more sales depends on your shop; this calculator makes sure free shipping does not cost you money when it does.

Why is the amount to add higher with Offsite Ads?

The Offsite Ads fee is a percentage of the order total too, so it also takes a share of the amount you add.

Sources

Etsy Help: What are the fees and taxes for selling on Etsy? · Etsy Help: Payment processing fees by country

Last reviewed: November 2026 · By Muhammad Shujah

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