Craft Pricing Calculator
- Materials
- Your time
- Overhead
- Profit
Wholesale is what a shop pays you; retail is what you charge when you sell directly. If the retail price seems high for your market, look at your time and materials before cutting the multipliers.
How the craft pricing calculation works
Add up the cost to make one
$8 of materials, an hour of your time at $20 and $2 of packaging and overhead: $30.
Set the wholesale price
Multiply the cost by your wholesale multiplier. At 2, wholesale is $60: what a shop pays you.
Set the retail price
Multiply wholesale by your retail multiplier. At 2, retail is $120, so your own sales don't undercut your shops.
Take off selling fees
With 10% of marketplace and payment fees, about what Etsy charges a US seller on a $120 item, you keep $108 of a $120 sale: $78 of profit on top of your $20 for the hour.
Worked example. A craft with $8 of materials, an hour of work at $20 an hour and $2 of overhead costs $30 to make. With 2× multipliers, the wholesale price is $60 and the retail price $120, leaving $90 of profit on a direct sale before fees.
Craft Pricing FAQ
How do I price handmade items?
Add materials, your time at an hourly rate and a share of overhead to get the cost. Multiply for a wholesale price, then again for retail. Compare with similar items before you settle on a price.
What is a good pricing formula for crafts?
Cost = materials + labor + overhead; wholesale = cost × a multiplier; retail = wholesale × a multiplier. Enter your own multipliers; the calculator shows what each one leaves you.
Should I pay myself an hourly rate?
Yes. Including your time as a cost means even the wholesale price pays you for the work, and the multipliers add profit for the business.
How do marketplace fees affect my price?
They come out of the retail price. On Etsy a US seller pays a $0.20 listing fee, a 6.5% transaction fee on the item price plus delivery and gift wrap, and a 3% + $0.25 payment processing fee on the whole order. On a $120 item with free delivery and no sales tax that is $11.85, about 9.9%. Use the Etsy fee calculator for the exact amount, including Offsite Ads.
What wholesale and retail multipliers should I use?
The defaults, 2 and 2, make wholesale twice your cost and retail four times your cost: $60 and $120 on a $30 item. If you only sell direct, a lower retail multiplier still pays for your time: at 1.5 the same item sells for $90 with $60 of profit. If you sell to shops, keep your own retail price at least as high as theirs.
How do I price crafts for a craft fair?
At a fair you sell direct, so charge your retail price. Add the booth fee to overhead, spread over what you expect to sell: a $100 booth and 50 sales adds $2 per item. If you take cards, enter the card reader fee in the fees box.
My price seems too high. What should I change?
Check your time and materials first: faster methods or bulk supplies lower the cost. Cutting the multipliers cuts your profit and leaves no room for wholesale.
Sources: Etsy: Fees and Payments Policy (updated 5 Oct 2026) · Etsy: Etsy Payments Policy, processing fees by country (updated 31 Jul 2026)