How to use the break-even price check

Enter your item cost, postage cost, packaging cost, other costs and the profit you want to make. Then add the marketplace fee assumptions. The calculator works backwards to estimate the item price needed.

Use this before listing, accepting an offer or setting a promoted listing rate. If the price needed looks too high for the item, the listing may not be worth doing unless you reduce costs or accept a lower target profit.

Fee base matters

Some platforms calculate fees on the item price only. Others may use the item price plus postage paid by the buyer.

Promotions reduce profit

Promoted listing rates are usually percentage costs. Add the rate as a percentage so the price needed includes it.

Check the final fee screen

Fee rules can vary by seller type, category, country, payment method, VAT and account settings.

What the result includes

The sold price needed is based on the direct costs you entered, the target profit, buyer postage charged, percentage fee assumptions, fixed fee and promoted listing rate. It is a planning estimate, not a guarantee.

The result does not include tax, refunds, return postage, damaged parcels, storage, your time, currency conversion, payment holds or later marketplace changes. Keep your own records if you sell regularly or buy items to resell.

Worked break-even example

Suppose an item costs you £12, postage costs £3.29, packaging costs £0.45 and you want £8 profit. If the marketplace charges a percentage fee and a small fixed fee, the selling price needs to cover the direct costs, the fixed fee, the percentage fees and the target profit. The calculator works backwards so the percentage fee is not forgotten.

This matters because adding fees after choosing a price can make the sale look better than it is. A listing that appears profitable at first can fall below target once promoted listing rates, payment fees or postage shortfalls are included.

Choosing the fee base

Some platforms calculate percentage fees on the item price only. Others may include postage paid by the buyer in the fee base. Choose the option that matches the fee screen for the marketplace you are using. If you are not sure, use the more cautious option and check the final listing preview.

The result is most useful when your costs are realistic. Include packaging, labels, payment fees, postage undercharges, listing promotion and any other cost that happens because you make the sale.