Calculator Inputs
The page uses a single-column flow, while the calculator fields use a responsive 3-column, 2-column, and 1-column arrangement.
Formula Used
Selling Price − Discount per Unit
Variable Cost + Allocated Fixed Overhead + Transaction Fee + Shipping Cost + Tax per Unit + Return Allowance
Net Revenue per Unit × Percentage Fee Rate
Non-Percentage Cost per Unit + Percentage Fee per Unit
Net Revenue per Unit − Total Cost per Unit
(Profit per Unit ÷ Net Revenue per Unit) × 100
(Profit per Unit ÷ Total Cost per Unit) × 100
Discount per Unit + Non-Percentage Cost per Unit ÷ (1 − Percentage Fee Rate)
Discount per Unit + Non-Percentage Cost per Unit ÷ (1 − Percentage Fee Rate − Target Margin Rate)
The break-even and target-price formulas correctly account for percentage-based fees, which makes the calculator more accurate for card processors and marketplace channels.
How to Use This Calculator
- Enter your expected selling price for one unit.
- Add discounts, variable costs, shipping, taxes, and other unit-level expenses.
- Include fixed overhead allocated to each unit if you want a fuller profitability view.
- Enter any percentage fee from payment processors or marketplaces.
- Set quantity to estimate total profit across the planned sales volume.
- Enter a target margin to see the selling price needed to hit that goal.
- Press the calculate button to show results above the form.
- Download the summary as CSV or PDF if needed.
Example Data Table
| Product | Selling Price | Discount | Net Revenue | Total Cost | Profit per Unit | Margin |
|---|---|---|---|---|---|---|
| Starter Pack | $25.00 | $1.00 | $24.00 | $17.12 | $6.88 | 28.67% |
| Pro Kit | $49.00 | $3.00 | $46.00 | $35.50 | $10.50 | 22.83% |
| Enterprise Box | $85.00 | $5.00 | $80.00 | $63.80 | $16.20 | 20.25% |
FAQs
1. What is profit per unit?
Profit per unit is the amount left from one sale after subtracting discounts, fees, taxes, shipping, overhead allocation, and other unit-level costs from net revenue.
2. Why include allocated fixed overhead?
Allocated overhead gives a fuller picture of real profitability. It spreads rent, software, salaries, or utilities across units so you can see whether each item truly supports the business.
3. What is the difference between margin and markup?
Margin compares profit against net revenue. Markup compares profit against total cost. Both are useful, but margin is often used for pricing decisions and sales performance reviews.
4. Why can break-even price be higher than cost?
Break-even price must cover both flat costs and percentage-based fees. When fees rise with revenue, the required selling price increases beyond simple unit cost totals.
5. Should I enter discounts separately?
Yes. Separating discounts from list price helps you measure pricing discipline, campaign impact, and real net revenue without changing your base product price assumptions.
6. Can I use this for marketplace selling?
Yes. The percentage fee field works well for marketplaces, payment processors, and commission-based channels. Add flat transaction fees and shipping to improve accuracy further.
7. What does target price show?
Target price estimates the selling price needed to reach your selected margin after accounting for discounts, flat costs, and percentage-based selling fees.
8. When should I update the inputs?
Update inputs whenever supplier costs, shipping rates, fee percentages, taxes, or discount strategy changes. Small shifts can materially change profit per unit.