Fair Cut
Tool 03

Free shipping: what it really costs you

Compare charging for shipping with offering it free, at the same price or with the postage folded into the price. One number tells you what to add.

Your Etsy fee rates
United States · 6.5% + 3% + $0.25
Sets processing and regulatory fee defaults and the currency.
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Billed as $0.20 USD; outside the US it’s converted.
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%
$
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Sellers in some countries only (UK 0.48%, Canada 0.50%, France 1.14%…).
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Etsy charges processing on the total including tax. 0 to ignore.
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UK and EU sellers are charged VAT on seller fees (20% in the UK) unless they handle it through VAT registration.
Currency conversion

Rates checked 2 Oct 2026 against Etsy’s Fees & Payments Policy. These settings are shared by all four tools.

1Today
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$
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Free shippingPer order
Add this to your price
$0.00

OptionBuyer paysEtsy feesProfit
Things worth knowing

Fees hit shipping either way

Etsy’s 6.5% transaction fee and the processing fee are charged on shipping too. So moving $5 of shipping into the price leaves your fees and your profit exactly where they were. Free shipping only costs you if the price stays the same.

The $35 guarantee (US)

US shops can promise free shipping on orders of $35 or more to US buyers. Etsy says shops with the guarantee may get a boost in US search. For an item priced just under $35 with shipping, the jump to free can be the difference between profit and loss. Run your own numbers here before switching.

Covering the label instead

If you charge less shipping than the label costs, the last row shows the price that covers the full label once shipping goes free. Buyers compare total price, so check similar listings before raising yours.

Add to price$0.00