A refund can cost more than the sale.
Compare kept and fully refunded orders. Set the costs your own fee schedule actually retains.
Sources and limits
Worked example. Check all costs before using your result.
Your figures
Other costs and assumptions
USD throughout. Your fee schedule, tax treatment and order dates matter. No store connection or upload.
See results ↓What these figures show
Check the marked fields before reading a result.
The return rate and cost recovery are assumptions to test, not a forecast.
Scenario contribution per original order
$13.12Conditional on the entered costs. This is not a demand forecast or net-profit report.
- Contribution when the order is kept
- $17.90
- Contribution on a fully returned order
- -$29.90
- Contribution lost per full return
- $47.80
- Scenario contribution per 100 original orders
- $1,312.00
- Cost break-even full-return rate
- 37.44%
- Original fee retained on a return
- $2.10
Check every input used
- Product selling price
- 60 USD
- Product cost
- 24 USD
- Outbound shipping and packing
- 6 USD
- Fully returned order rate
- 10 %
- Ad cost per original order
- 10 USD
- Original percentage selling fee
- 3 %
- Original fixed selling fee
- 0.3 USD
- Return shipping paid by you
- 5 USD
- Extra return handling
- 2 USD
- Product cost recovered into stock
- 80 %
- Original fees refunded to you
- 0 %
Formula, source and limits
Every original order incurs its entered outbound cost, original payment fee and ad cost. A full return refunds all product revenue.
Returned-order contribution subtracts unrecovered product cost, outbound cost, retained original fees, return shipping, extra handling and original ad cost. Recovered cost is stock value, not immediate cash.
Scenario contribution = kept-order contribution × kept-order share + returned-order contribution × full-return share. The cost break-even return rate rounds down to two decimals.
This models full product refunds with no customer-paid shipping for one product/order pattern. It does not predict returns, model partial refunds or replace a cohort profit report. The same rate can hide very different recovery and handling costs. Tax, overhead and unentered costs remain excluded.