Shipping Cost Calculator
Blended shipping cost and free-ship threshold.
Enter your values
ⓘ Live results
Results
- Total fulfilment cost
- $10.70
- Free shipping threshold
- $22.29
- Uplift needed on AOV
- -60.2%
- Shipping as % of AOV
- 19.1%
Quick answer
A free shipping threshold works when the extra order value covers the shipping you absorb.
Threshold = shipping cost ÷ gross margin
How to use the Shipping Cost Calculator
- 1Enter carrier, packaging and labour costs.
- 2Enter your gross margin.
- 3Compare the threshold against your current AOV.
Worked example
Using the values the calculator loads with:
Inputs
- Carrier cost per order7.2 $
- Packaging cost1.4 $
- Pick and pack labour2.1 $
- Gross margin48 %
- Current AOV56 $
Results
- Total fulfilment cost$10.70
- Free shipping threshold$22.29
- Uplift needed on AOV-60.2%
- Shipping as % of AOV19.1%
Frequently asked questions
Should shipping be free?
Only above a threshold that keeps contribution positive.
What if the threshold is far above AOV?
Bundle products or charge flat-rate shipping instead.
About this calculator
- Built and reviewed by James Whitfield · How we build and test calculators
- Report an error
Results are estimates for general information. For medical, legal, structural or financial decisions, confirm with a qualified professional.