Landed Cost Calculator

The factory quote is the most optimistic number in your business. It's also the one sellers plug into their profit spreadsheet and trust. The real cost of a unit isn't what you paid the factory — it's what it cost to get that unit, ready to ship, into Amazon's hands.

This calculator adds the pieces that turn a factory price into a landed cost.

The pieces

• Factory price — per unit, what you pay the supplier.
• Freight — the whole shipment's ocean or air cost, spread across every unit.
• Duty — a percentage of the goods' value. Many products from China carry duty; some categories are duty-free; US-made goods are usually 0%.
• Misc — inspection, prep, labeling, the random $150 that always shows up.

Why this number matters more than the sale price

A $5 factory price can easily become a $7.50 landed cost once freight, duty, and prep are in. If you priced for $5 COGS, you've been wrong on every unit you sold. The gap is exactly the kind of thing that turns a "profitable" product into one that quietly loses money at volume.

The order-size trade-off

Freight and misc are per-shipment, so the more units you ship, the lower the per-unit cost. That pushes you to order big. But bigger orders mean more cash tied up and more risk of sitting in long-term storage if they don't sell. The landed cost gets better as you scale the order; your cashflow and storage fees get worse. The right order size is where those cross, not where landed cost is lowest.

Use it as your COGS

Whatever this tool outputs per unit is the number to put into the Net Profit and Break-Even calculators. Do that and your whole pricing picture finally lines up with what your bank account sees.