If you're sourcing products for TikTok Shop, the first number you need to know is not the selling price — it's your real net profit per unit. Most sellers estimate based on the 6% referral fee headline and wonder later why their margin disappeared.
This guide walks through the actual calculation with a real example.
The Full TikTok Shop Fee Stack (2026)
TikTok Shop charges four distinct fees per transaction (US market, 2026):
| Fee | Rate | Notes |
|---|---|---|
| Base commission | 5–10% | By category. Beauty = 8%. |
| Payment processing fee | 2% | Labeled "platform fee," easy to miss. |
| Payment processing | 1.8% | Standard card processing. |
| Creator commission | 0–20% | Only if running affiliates. |
Before creator commission, you're at ~11.8% — not 8%.
Step-by-Step Calculation
Let's use a real example: a beauty product selling for $29.99 with $9.50 COGS (including shipping).
Step 1: Calculate Total Fees
Base commission (8%): $29.99 × 0.08 = $2.40 Payment processing fee (2%): $29.99 × 0.02 = $0.60 Payment processing (1.8%):$29.99 × 0.018 = $0.54 Creator commission (10%): $29.99 × 0.10 = $3.00 Total fees: $6.54
Step 2: Subtract COGS
Selling price: $29.99 Total fees: −$6.54 COGS + shipping: −$9.50 NET PROFIT: $13.75 per unit
If you'd only used the 6% referral fee number, you'd have estimated $20+ per unit. The real net is $13.75 — a 31% difference.
What Changes at Different Price Points
The fee stack percentage stays roughly the same, but the absolute dollar impact grows with price. A $50 product with 15% creator commission would have about $11.40 in fees before COGS.
This is why accurate calculation matters more at higher price points — the gap between estimated and real profit gets larger.
Use the Calculator Instead
We built a TikTok Shop Profit Calculator that does all of this instantly. Enter your selling price, COGS, category, and creator commission rate — the net profit, margin, and ROI update as you type.
For a side-by-side comparison with Amazon FBA on the same product, use the TikTok vs Amazon FBA tool.