/ /Profit Per Product Calculator
Profit Per Product Calculator
Score any single product: profit and margin per unit after fees, shipping, and return reserves, plus break-even units on product fixed costs like photography and tooling.
Product Inputs
Selling Price ($)
Unit Cost (COGS) ($)
Fees per Unit ($) Marketplace + payment fees
Shipping per Unit ($)
Returns Reserve per Unit ($)
Product Fixed Costs ($) Photography, molds, setup
Product Profitability
Selling Price$49.99
Variable Cost / Unit-$31.00
Profit per Unit$18.99
Margin / Markup38.0% / 97%
Break-Even Units158 units
Product verdict: Each unit earns $18.99 (38.0% margin). Fixed costs pay back after 158 units — scale winners past that line fast.
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Authoritative References
Frequently Asked Questions
How do you calculate profit per product?
Profit per Unit = Selling Price - Unit COGS - Fees - Shipping - Returns Reserve. Fully-loaded SKUs also amortize fixed costs: subtract Fixed Costs / Units for true per-unit profit.
What is a good per-unit margin?
Target 30-50% per-unit margin after all variable deductions so fixed costs, overhead, and taxes still leave 10-20% net. Below 20% per-unit, volume rarely saves the SKU.
What are break-even units?
Fixed Costs / Profit per Unit. A $3,000 setup with $18.99 contribution needs 159 units before the product truly profits — use it to set MOQs and ad budgets.
Should returns reserves count in product profit?
Yes: multiply return rate by (refund + return shipping + inspection) per unit. A 10% return rate on a $50 item with $8 return handling costs $5+ per unit sold on average.
When should I kill an unprofitable product?
When contribution stays negative after one price test and one cost renegotiation, or when break-even exceeds realistic 90-day volume. Cut fast — losers consume the ad spend winners need.