Unit Economics

Contribution Margin Calculator

How many dollars each unit actually contributes toward fixed costs and profit after every variable cost is paid.

Inputs

  • Selling price
  • Variable cost per unit
  • Shipping per unit
  • Fees per unit

How to use this calculator

  1. Enter the selling price of one unit.
  2. Add every cost that scales with that unit: the product itself, shipping, and fees.
  3. The headline is the dollars each sale contributes toward fixed costs and profit. If it's negative, you lose money on every sale.

What each term means

Contribution margin
Price minus all variable costs: what each sale contributes before fixed costs.
Variable cost
A cost that occurs with each unit sold (goods, shipping, fees).
Fixed cost
A cost that stays the same regardless of volume, such as rent and salaries. It is not entered here.

Educational disclaimer: Outputs are simplified educational estimates built from the numbers you enter — they are not financial, legal, tax, or investment advice, and real decisions deserve verified figures and qualified professionals.

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