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Order Contribution Calculator
Calculate order contribution after variable costs, with optional entered overhead shown separately from accounting net income.
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01 / EnterThese are editable examples, not recommended rates. Enter your own numbers.
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02 / UnderstandLoading the example calculation…
Show the math
Currency totals round to cents. Sub-dollar unit rates use extra precision; very small rates use scientific notation. Calculations retain unrounded values.
What this means
Contribution is order revenue minus the modeled variable order costs. Optional allocated overhead produces a second result, not a claim of company net income.
Worked example
A $100 order with $40 product, $5 shipping, $3 fulfillment, 3% processing plus $0.30 fixed fee, and $10 advertising leaves $38.70 contribution (38.7%). Adding $5 overhead gives $33.70 after the entered allocation.
How the math works
Processing = revenue×processing percentage/100 + fixed fee. Variable cost = product + shipping + fulfillment + processing + advertising + expected returns allowance. Contribution = revenue−variable cost; margin = contribution/revenue. After-allocation profit = contribution−overhead.
About this estimate
One order or consistent average order; fees use the entire entered order revenue. Returns allowance is an expected dollar expense, not a return probability. No financing, income taxes or unentered overhead is included. Zero revenue leaves margin undefined.
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Formula v1.0.0 · Reviewed · Tool ID: true-profit-per-order