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A clearer view of your numbers

Order Contribution Calculator

Calculate order contribution after variable costs, with optional entered overhead shown separately from accounting net income.

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Your inputs

01 / Enter

These are editable examples, not recommended rates. Enter your own numbers.

Calculator inputs

Include customer shipping charges; exclude pass-through taxes.

Acquisition cost of products in this order.

Your outgoing shipping cost.

Packing and fulfillment costs not counted elsewhere.

Illustrative input; use the actual provider terms.

Illustrative input, not a recommended or standard fee.

Average advertising cost allocated to this order.

Expected incremental returns/refund loss not already netted from revenue or costs.

Excluded from contribution; shown separately after contribution.

Your result

02 / Understand

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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.

Keep working through it

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Formula v1.0.0 · Reviewed · Tool ID: true-profit-per-order