Etsy Shipping & Postage Calculator
Understand how Etsy fees apply to shipping charges, calculate your true packaging expenses, and choose between Calculated Shipping and Free Shipping.
📦 Shipping & Postage Details
What the customer pays for delivery
Cost of USPS Ground Advantage / Priority / UPS
Mailer, bubble wrap, labels, branded tape
⚠️ Important: Etsy Charges 6.5% on Shipping!
Many new sellers assume that shipping money goes 100% straight to postage. In reality, Etsy deducts:
- 6.5% Transaction Fee on the shipping charge paid by the buyer.
- 3.0% + $0.25 Payment Processing Fee on the total order including shipping.
If you charge $6.50 for shipping, Etsy deducts approximately $0.62 in fees from that shipping amount alone.
Calculated Shipping vs. Free Shipping on Etsy
One of the biggest dilemmas Etsy sellers face is deciding whether to offer Free Shipping over $35 or use Etsy Calculated Shipping.
1. Etsy Calculated Shipping
With calculated shipping, Etsy uses the buyer's zip code and package weight/dimensions to charge exact USPS or global rates. This prevents you from undercharging on distant zones (e.g. shipping from New York to California or Alaska).
2. Free Shipping Guarantee ($35+)
Etsy prioritizes listings in US search results that offer free delivery on orders of $35 or more. To maintain healthy margins, bake your average shipping cost (e.g. $4–$5) directly into your product listing price.