Handeware
Business

Price to charge

$32.34
Total cost
$21.25
Profit per item
$8.50

This is arithmetic for general information, not financial advice.

Handmade Product Pricing Calculator

Many makers price by guessing, then wonder why there is no money left over. This works the price up from the costs, so every sale covers your materials, your time and the fees.

How it works

Add the materials, packaging and power for one item, plus the time you spend making it times your pay per hour. That total is the cost. Add the profit you want on top of the cost. Then divide by what is left after fees, so the fees come out of the price and not out of your profit.

Worked example

A piece that costs $21.25 to make, with 8% taken in fees and 40% profit on top, sells for $32.34. That leaves $8.50 for you on each one.

Questions

Should I include my own time?

Yes. If you skip your pay, the price only covers materials, and the work you put in never comes back to you.

Why take fees out of the price?

Marketplaces and card processors keep a share of each sale. Pricing to net the profit after fees keeps the profit you planned.

How do I know the price is fair?

Look at what similar items sell for. If your price is much higher, the difference needs to come from better materials, skill or a clear story.

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