How to Calculate Shopify Profit
8 min read · Updated 2026-06
Definition
Shopify profit is what is left after subtracting every cost Shopify touches — product costs, refunds, payment fees, shipping, and platform costs — from your revenue. It is the real number, not what your dashboard shows.
Formula
Shopify Profit = Revenue − COGS − Refunds − Payment Fees − Shipping − Shopify Plan − App Costs
Example
A Shopify Basic store ($39/month) doing $25,000/month:
- Revenue: $25,000
- COGS (35%): −$8,750
- Refunds (7%): −$1,750
- Payment fees on all orders: −$755
- Payment fees lost on refunds: −$53
- Shipping gap: −$1,200
- Shopify plan: −$39
- Apps: −$185
- Shopify Profit: $12,268 → 49.1% margin undefined
If refund rate hits 12%: losses jump $1,250 + $38 extra lost payment fees. Margin drops to 44%.
Common Mistakes
- Trusting the Shopify dashboard. It shows revenue, not profit. The number on your dashboard is not what you keep.
- Not counting lost payment fees on refunds. Refund $50 = lose $50 revenue + $1.75 in fees that are not returned.
- Forgetting app subscriptions. $9 + $15 + $29 + $19 = $72/month or $864/year from your margin.
Fastest Way to Calculate
Export your Shopify Orders CSV and upload it to our CSV Profit Checker for exact numbers in 30 seconds.
FAQ
Does Shopify show my real profit?
No. Shopify shows revenue and some cost data. It does not subtract payment fees from refunds or account for app costs.
What costs do most Shopify merchants forget?
Payment fees on refunded orders, shipping subsidies, and app subscriptions. Together these can eat 8–15% of revenue.
How often should I calculate my Shopify profit?
Monthly at minimum. Weekly if you run paid ads.
Can I use Shopify reports for profit?
Shopify reports show revenue and refunds but not net profit. Export and calculate manually, or use our CSV Profit Checker.
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