// free tool
free tiktok shop profit calculator.
Most TikTok Shop sellers look at their revenue and think they're profitable. But after TikTok's referral fee (6%), product costs, ad spend, affiliate commissions, and refunds — the real number is often much lower than expected. This free profit calculator shows you your true net profit from every dollar of TikTok Shop revenue.
Calculate your real TikTok Shop profit
TikTok's referral fee (9%, payment processing included) is calculated automatically.
£2,050/mo
This is what Margn calculates automatically from your real orders.
See it with your real dataHow to Calculate Your TikTok Shop Profit
The formula for calculating your true TikTok Shop profit is straightforward, but most sellers miss one or more cost lines:
Net Profit = Revenue − COGS − Referral Fee (6%) − Ad Spend − Affiliate Commissions − Refunds
COGS (Cost of Goods Sold) is typically your largest expense. This includes the unit cost of your product, packaging, labeling, and inbound shipping. Many sellers track COGS as a flat percentage (e.g., 30%), but the most accurate approach is to track it per SKU — because a $5 item and a $50 item have very different cost structures. For a full guide on calculating your landed cost per unit, read our TikTok Shop COGS guide.
Referral fees are charged by TikTok on every transaction. As of 2026, the standard rate in the US is approximately 6% of the order subtotal. This is a unified fee that covers marketplace operation, buyer protection, and payment processing — there is no separate payment processing charge.
Affiliate and creator commissions typically range from 5% to 20% depending on your program setup. If you use TikTok Shop's affiliate program to drive sales through creators, these commissions are deducted from your payout automatically.
Ad spend is your monthly investment in TikTok Ads (Spark Ads, In-Feed Ads, etc.). Unlike the other costs which are per-order, ad spend is a fixed monthly expense that needs to be spread across your total revenue to understand its impact on margins. For a comparison of tools that automate this tracking, see our guide to the best TikTok Shop profit trackers.
TikTok Shop Fee Breakdown
Here's how the fees break down on a typical £5,000 (UK) or $5,000 (US) monthly revenue. These numbers are based on standard 2026 rates and may vary slightly depending on your seller tier and category.
| Fee Type | 🇬🇧 UK (£5,000) | 🇺🇸 US ($5,000) |
|---|---|---|
| Referral Fee | £450 (9%) | $300 (6%) |
| Payment Processing | Included | Included |
| COGS (30%) | £1,500 | $1,500 |
| Affiliate Commissions (10%) | £500 | $500 |
| Ad Spend | £500 | $500 |
| Net Profit | £2,050 (41%) | $2,200 (44%) |
* Standard rates as of 2026. Actual fees may vary by seller tier, category, and region.
For a complete breakdown of every fee type including regional rates, FBT fulfillment costs, and refund admin fees, read our full TikTok Shop fees guide.
Why Most TikTok Sellers Overestimate Their Profit
The most common mistake TikTok Shop sellers make is confusing revenue with profit. TikTok's Seller Center shows your gross revenue prominently, but it doesn't subtract all costs in one place. You have to manually piece together platform fees, payment fees, affiliate payouts, ad costs, and refunds from different reports.
The second mistake is ignoring how fees compound on low-ticket items. A $10 product with a 6% referral fee already loses $0.60 before you even count COGS. If your product costs $4 to source, you're left with $5.40 — a 54% margin that feels good until you add ad spend and commissions. Our TikTok Shop pricing strategy guide shows the backward formula to find the minimum price you can charge while staying profitable.
To see how margins compare across product categories, check our TikTok Shop profit margin benchmarks.
The calculator above helps you see the full picture before these hidden costs surprise you. For automated tracking with your real order data, try Margn free — it connects to your TikTok Shop and calculates your true profit per product, per day, automatically.
Frequently Asked Questions
How do TikTok Shop fees work?
TikTok Shop charges a single all-in referral fee on every transaction — 9% in the UK, 6% in the US — with payment processing bundled in (no separate payment fee). These fees are deducted before you receive your payout. On top of that, if you use affiliate or creator programs, their commissions (typically 5–20%) are also deducted. Our calculator factors in all of these costs automatically — just select your market.
What is a good profit margin for TikTok Shop?
A healthy net profit margin for TikTok Shop sellers is typically between 15% and 30% after all costs. However, many sellers unknowingly operate at 5–10% or even at a loss once fees, COGS, ad spend, and commissions are properly accounted for. Use this calculator to see where you actually stand — and aim to optimize from there.
How do I calculate COGS for TikTok Shop?
COGS (Cost of Goods Sold) includes the unit cost of your product, packaging, labeling, and inbound shipping to your warehouse or fulfillment center. To calculate it accurately, add up the landed cost per unit — what you paid to get each item ready to ship to a customer. Tracking COGS per SKU (not as a flat percentage) gives you the most accurate profit picture. Read our full COGS guide at margn.shop/blog/tiktok-shop-cogs-guide.
Is this calculator accurate?
This calculator uses the official TikTok Shop fee structure for your selected market — 9% referral fee + separate payment processing for UK sellers, 6% unified fee for US sellers — and lets you input your own COGS, ad spend, and commission rates. For estimates, it's highly accurate. For exact numbers based on your real orders, connect your TikTok Shop to Margn — it automatically pulls your actual fees, commissions, and refunds from every order.
Which TikTok Shop markets does Margn support?
Margn currently supports TikTok Shop UK and France. US market support is coming soon. The profit calculator on this page works for all markets — just select your region to see the correct fee rates.
Want a deeper dive? Read our complete guide: How to Calculate Your True TikTok Shop Profit — covers the full formula, common mistakes, and how to track profit automatically.
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