Craft Pricing Calculator

Price your handmade items with confidence. Add materials, set your labor rate, apply overhead, and hit your profit target — get a recommended selling price instantly. Your inputs are saved automatically.

Item name Unit price ($) Qty used Subtotal
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Overhead covers packaging, shipping supplies, platform fees, and studio costs. Margin is calculated on the selling price (not cost).

Total Cost
Recommended Price
Profit
Actual Margin

How it works

The calculator builds your price from the bottom up using four components. All math happens in your browser — nothing is sent to a server.

Materials cost Sum of (unit price × quantity) for every material row you add.
Labor cost Hours to make × your hourly rate. Set a rate you actually want to earn.
Overhead (Materials + Labor) × overhead %. Covers packaging, fees, studio costs, etc.
Selling price Total cost ÷ (1 − margin%). This ensures your margin is earned on the price, not just on cost.

Example: $8 materials + 2 hr × $15 = $38 labor → subtotal $46. At 15% overhead: $46 × 1.15 = $52.90 cost. With 40% target margin: $52.90 ÷ (1 − 0.40) = $88.17 selling price, $35.27 profit.

Frequently asked questions

What's the difference between markup and margin?
Markup is profit as a percentage of cost. Margin is profit as a percentage of the selling price. A 40% margin means $0.40 of every dollar of revenue is profit. To achieve the same result using markup, you'd need a 66.7% markup (profit ÷ cost × 100). Margin is the standard in retail and Etsy pricing guides because it scales correctly as prices change — this calculator uses margin on price.
What should I include in the overhead percentage?
Overhead covers any cost not tied to a single item: Etsy/platform listing fees (typically 6.5% transaction + 3% payment), shipping materials, tools that wear out, studio rent, electricity, software subscriptions, and photography for listings. A common starting point for small handmade sellers is 15–25%. If you sell primarily on Etsy, add at least 10% to cover platform fees before layering in other overhead.
How do I decide what margin to target?
Most profitable handmade sellers target 30–50% margin on standard items, and 50–60%+ on premium or custom work. If you wholesale to boutiques, they typically expect to double your price (keystone pricing), so you need at least 50% margin to leave room for their markup. Start with 40% as a baseline and adjust based on how your prices compare in the market and whether items sell well at that level.