How TikTok Shop fees and profit are calculated
Referral fee
(price after discount) × referral % × kept ordersTikTok Shop’s platform fee on each order, charged on the price the buyer pays before tax. The default is 6%; enter the rate shown in your Seller Center.
Creator commission
(price after discount) × commission % × share from creators × kept ordersYou only pay commission on orders that an affiliate creator drives, so it is weighted by the share of your orders that come from creators.
Seller discount
price × discount %A discount you fund yourself lowers what the buyer pays, and the referral fee and commission are charged on that lower amount.
Shipping subsidy and fulfillment fee
per order, in dollarsShipping subsidy is what you pay toward the buyer’s shipping (free-shipping offers). Fulfillment covers pick, pack and storage, from FBT or a 3PL.
Refund loss
refund rate × (price after discount + admin fee + return label) − refund rate × resellable % × product costA refunded order gives the buyer’s money back. TikTok returns the referral fee minus a 20% administration fee (max $5) and the commission is reversed, which is why those two lines count only kept orders. Resellable items win back their cost.
Net profit and break-even ROAS
net profit = price − all lines above; break-even ROAS = price after discount ÷ net profit before adsBreak-even ROAS tells you the lowest return on ad spend that still doesn’t lose money on an order.
Frequently asked questions
How much does TikTok Shop take per sale?
TikTok Shop charges a referral fee on each order: TikTok’s published US table lists 6% for most categories, and several seller guides report 8% for most non-food categories from August 2026. Check the rate in your Seller Center. If a creator sold the item, you also pay the commission you set.
What is a good profit margin on TikTok Shop?
Aim for at least 15% after ads and returns. Below 10%, a week of returns or a rise in ad costs can wipe out the profit.
Do I pay creator commission on every order?
No. You only pay commission on orders that come through an affiliate creator’s video, live or showcase. Orders from your own videos, ads or shop page don’t carry commission.
What is break-even ROAS?
It is the return on ad spend at which an order makes exactly $0. Price ÷ profit before ads. If your ads return less than this, every ad-driven order loses money.
Does this include taxes?
No. The referral fee is calculated on the price before tax, and sales tax collected by TikTok Shop isn’t your revenue, so it is left out.
Related free tools
Estimates are labelled; fee rates are editable defaults.