Free Shipping Threshold Calculator
At what order value should free shipping start so it pays for itself?
Also known as: Free shipping threshold calculator
Orders and costs
Suggested free-shipping threshold
- Break-even threshold
- ₹1,250
- Above your average order by
- 19%
- Margin left after shipping
- ₹0
Where extra basket margin exactly pays for shipping.
Per order that reaches the threshold.
Save this result
Keep it in your workspace with a note. Free accounts keep 5 results; Pro keeps them all.
How it works
How does the Free Shipping Threshold Calculator work?
Free shipping pays for itself when the extra basket value earns enough margin to cover the shipping you absorb: threshold = AOV + shipping cost ÷ gross margin.
- Break-even threshold = current AOV + (shipping cost per order ÷ gross margin).
- The suggestion is the higher of the break-even and your chosen minimum stretch above AOV, rounded up.
- A threshold far above your AOV may be ignored by shoppers; test it rather than assume.
Worked example
₹1,050 AOV, ₹90 shipping, 45% margin: the extra basket needed is ₹90 ÷ 0.45 = ₹200, so the break-even threshold is ₹1,250 (19% above AOV).
Limits
Assumes shoppers who add items to qualify buy at your normal margin, and ignores shoppers who'd have paid for shipping anyway.
Related tools
Private by default
Your inputs stay in this browser.
This free calculation runs locally and is a planning aid, not financial, tax or legal advice. Nothing you type leaves this page unless you choose to save it.