Product and shipping cost
Use the price the supplier actually charges per unit plus what it costs to ship that order to the customer.
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Dropshipping Profit Calculator: after ads, fees, and shipping
A $34.99 order with an $8.50 product and $4.25 shipping looks like a $22 spread. After 2.9% + $0.30, 3% returns, $1.50 apps, and 25% ads, this page leaves $9.63 (27.5%) and a 1.90x break-even ROAS. A 4x ROAS can still lose money if the other costs are worse.
Includes ads, fees, shipping, and returnsShows break-even ROAS, not just marginNo signup required
The calculator opens with a typical dropshipping example. Replace every field with your own product numbers to model your real unit economics.
Estimated profit per order
$9.63
Profit margin
27.5%
ROI on unit cost
75.5%
Break-even ROAS
1.90x
Monthly profit
$3,852
Profit before ads$18.38
Calculate dropshipping profit and loss
The defaults are an illustrative example with realistic planning allowances. Replace them with your exact product numbers before scaling ad spend on a campaign.
This estimate is only as good as your product cost.
SupplyAutomate tracks the real cost of every purchase order, including supplier price, freight, duty, and fulfillment, so the number you model here matches what you actually pay.
Worked example
What does a $34.99 dropshipping order actually leave?
With the current inputs, selling price minus product and shipping cost leaves a $22.24 preliminary spread. After payment fees, advertising, and returns, the estimated profit is $9.63 per order.
A campaign reporting a 3x or 4x ROAS can still lose money on thin-margin products. Compare your actual ROAS against the break-even ROAS above before you scale spend.
Selling price$34.99
Product cost-$8.50
Shipping cost-$4.25
Payment processing-$1.31
Advertising-$8.75
Returns reserve-$1.05
Apps and overhead-$1.50
Estimated profit
27.5% margin
Dropshipping unit economics
Costs a dropshipping P&L calculator should include
Revenue minus product cost is not profit. A useful ecommerce model includes the costs that move with each order and the reserves that appear unevenly over time.
Payment processing
Card and checkout fees are usually a percentage plus a fixed amount per order, and both add up fast at low order values.
Advertising
Model ad spend as a percentage of revenue and compare it with your break-even ROAS before scaling a campaign.
Returns and overhead
Reserve for refunds and chargebacks, and allocate apps, subscriptions, and other fixed costs across each order.
The profit formula
Break-even ROAS is calculated from the profit left before advertising, divided by ad spend at the point profit hits zero.
Selling price - product cost - shipping - fees - ads - returns - overhead = profit
Current break-even ROAS: 1.90x
Track it month over month
This calculator models a single order. When you are ready to track real orders across a month, with your own SKUs, channels, and ad campaigns, use the free Excel P&L template with the same formulas already wired up.
Dropshipping profit calculator FAQ
The page opens with a $34.99 order: $8.50 product, $4.25 shipping, 2.9% + $0.30 processing, 3% returns, and $1.50 apps. That leaves $18.38 before ads and $9.63 after a 25% ad spend (27.5% margin, 1.90x break-even ROAS). At 400 orders a month that is $3,852. Replace every field. A reported 4x ROAS can still lose money if the other costs are worse than this example.
The calculator is free. The margin is the hard part.
A spreadsheet estimate is not a landed cost.
Every number above depends on what your unit truly costs delivered to your fulfillment partner or 3PL. SupplyAutomate keeps purchase orders, suppliers, documents, freight, duty, and prep in one workspace, so your real cost per unit updates as the order moves, not three months later.
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Example dropshipping restock
On track
Purchase order SA-1048
$14.06
Actual cost per order, tracked automatically
2,000 units
Order placedReady to fulfill
$8.50
Product cost per unit
$4.25
Shipping per order
$1.31
Payment fee per order
Drop this into the calculator instead of guessing at product cost.
Related reading
- Dropshipping profit and loss template: the same per-order math, tracked month by month in Excel.
- How to calculate Shopify landed cost: inventory cost, not a checkout duty widget. A $20 factory price that lands at $27.
- Profit margin calculator: gross vs net and the price that hits a target when the channel is not ads-first.
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