Quick answer
A $60 product with $22 of product cost, $6 of shipping and $2 of other costs makes $27.96 per order on Shopify after the 2.9% plus $0.30 payment fee, a 46.6% true margin. At 300 orders a month that is $8,388 of profit, before the plan subscription and ad spend.
How the Shopify Margin Calculator works, step by step
Enter your selling price, product cost, shipping charged and shipping cost, plus any other per-order cost such as packaging. The calculator adds the Shopify Payments fee automatically at 2.9% plus $0.30 on the total charged to the customer, which is the Basic plan online card rate for US stores in 2026. The fee applies to price plus shipping charged, so free shipping still pays the card fee on the full order.
The payment rate falls as the plan rises: 2.7% plus $0.30 on Grow, 2.5% plus $0.30 on Advanced, and 2.25% plus $0.30 on Plus. The calculator uses the Basic rate, so stores on higher plans keep slightly more per order than shown. The difference between Basic and Advanced is 0.4% per order, or $0.24 on a $60 sale.
Using a third-party gateway instead of Shopify Payments costs more, not less. Shopify adds a transaction fee on top of the gateway's own fee: 2% on Basic, 1% on Grow, 0.6% on Advanced and 0.2% on Plus. A PayPal sale on Basic therefore costs PayPal's fee plus another 2% to Shopify, which is why Shopify Payments is usually the cheaper route.
The orders field turns the per-order figure into a monthly profit. At 300 orders a month and $27.96 of profit per order, the store makes $8,388 before the subscription and ads. The $39-a-month Basic plan is a rounding error at that volume, but it matters at 10 orders a month, where it takes $3.90 of every order's profit.
The verdict line ties margin to advertising. Under a 20% true margin there is almost no room for ad spend, and the break-even ROAS climbs above 5x. At a 46.6% margin the break-even ROAS is 2.15x, so every $1 of ad spend must return at least $2.15 of revenue. Below that line, ads lose money no matter how good the click-through rate looks.
The formula
Amount charged = selling price plus shipping charged. Payment fee = amount charged times 2.9%, plus $0.30. Profit per order = amount charged minus product cost minus shipping cost minus other costs minus the payment fee. True margin = profit per order divided by amount charged. Monthly profit = profit per order times orders.
Worked example — try it on the calculator above
Worked example: $60 price, $22 cost, 300 orders a month
A store sells a product for $60 with no shipping charged. Product cost is $22, shipping costs $6 and other costs are $2. The Shopify Payments fee is 2.9% of $60 plus $0.30, or $2.04. Profit per order is $60 minus $22 minus $6 minus $2 minus $2.04, which is $27.96, a 46.6% true margin. At 300 orders a month, monthly profit is $8,388 before the subscription and ad spend. Break-even ROAS is 1 divided by 0.466, or 2.15x: ads returning less than $2.15 per $1 spent lose money on this product. On the Advanced plan the payment fee would be $1.80 instead of $2.04, adding $0.24 of profit to every order, or $72 a month at this volume.
Frequently Asked Questions
What does Shopify charge per sale?
With Shopify Payments on the Basic plan, an online card sale costs 2.9% plus $0.30. The rate falls to 2.7% on Grow, 2.5% on Advanced and 2.25% on Plus. In-person card sales are cheaper, from 2.6% plus $0.10 on Basic. The monthly plan subscription is separate from the per-sale fee.
Do I pay extra for using PayPal or Stripe on Shopify?
Yes, unless you use Shopify Payments as your primary provider. Shopify adds a transaction fee on top of a third-party gateway's own fee: 2% on Basic, 1% on Grow, 0.6% on Advanced and 0.2% on Plus. That is why the calculator assumes Shopify Payments.
Does the calculator include the monthly plan cost?
No. It works out profit per order and monthly profit from orders alone. The Basic plan costs $39 a month billed monthly, or $29 a month billed yearly, and you should subtract it from the monthly profit figure yourself. At high volumes it is small; at low volumes it matters.
What is break-even ROAS?
The return on ad spend at which an order makes exactly zero profit after ads: one divided by your true margin. At a 46.6% margin it is 2.15x, so each $1 of ad spend must bring in $2.15 of revenue. Spend below that line and the order loses money; above it, the difference is profit.
Estimates, not advice. This calculator provides educational estimates based on the inputs you enter and the assumptions shown on this page. It is not financial, tax or investment advice, and it cannot see your full situation. Verify important figures against official sources, and consider a qualified professional for decisions about your own money. See our Disclaimer and Methodology.