Expert in E-commerce Profitability and Financial Analysis.
Selling on Poshmark can be lucrative, but understanding the platform’s fee structure is crucial for pricing your items correctly. Use our Poshmark Calculator to instantly determine your net earnings and total profit after commissions and shipping costs.
Poshmark Calculator
Poshmark Calculator Formula
Total Profit = Net Earnings – Original Cost – Other Costs
Source: Official Poshmark Fee Policy | Profit Margin Definitions
Variables:
- Listing/Sale Price: The final amount the buyer pays for the item (excluding tax/shipping paid by buyer).
- Poshmark Fee: $2.95 flat for items under $15; 20% commission for items $15 and over.
- Original Cost: What you originally paid for the item (COGS).
- Shipping Discount: Any shipping reduction you offer to the buyer (deducted from your earnings).
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What is Poshmark Calculator?
A Poshmark Calculator is a specialized financial tool designed for resellers to estimate their bottom-line profits before listing an item. Because Poshmark takes a standard commission from every sale, it is easy to overestimate how much money will actually land in your bank account.
By factoring in the “Posh Fee,” shipping discounts (which are mandatory for “Closet Clear Out” or “Offers to Likers”), and your initial procurement costs, this tool provides a realistic view of your Return on Investment (ROI).
How to Calculate Poshmark Calculator (Example)
- Determine Sale Price: Suppose you sell a jacket for $50.00.
- Calculate Poshmark Fee: Since $50 is over $15, the fee is 20% ($50 × 0.20 = $10.00).
- Subtract Shipping Discounts: If you offered a shipping discount of $2.02, subtract it.
- Calculate Net Earnings: $50.00 – $10.00 – $2.02 = $37.98.
- Subtract Costs: If the jacket cost you $10.00, your final profit is $27.98.
Frequently Asked Questions (FAQ)
For any sale under $15, Poshmark takes a flat commission of $2.95. So for a $10 sale, you earn $7.05.
Only if you offer a shipping discount or free shipping. Otherwise, the buyer pays for the standard shipping label.
No, listing items on Poshmark is completely free. Fees are only applied once an item successfully sells.
Yes, by comparing your “Total Profit” to the “Sale Price,” you can determine your percentage margin.