Etsy bookkeeping spreadsheet
Your Etsy payout is not your income. Your books need the gross sale, every fee and the cost of what you sold.
Why payouts are not enough
Etsy deposits a payout to your bank after taking fees, shipping labels and ad costs. If you record only payouts, your income looks smaller than the 1099-K (which shows gross), and you lose track of the fees, which are deductible. Good books start from the gross sale and record each deduction separately.
The Etsy fees to record
- Listing fee: $0.20 per listing, charged again on renewal and for each extra item sold in a multi-quantity order.
- Transaction fee: 6.5% of the item price plus the shipping and gift wrap you charge.
- Payment processing (US): 3% plus $0.25 per order.
- Offsite Ads: 15% of the order when a sale comes from one of these ads, or 12% if you made more than $10,000 on Etsy in the past 12 months.
- Etsy Ads, shipping labels, currency conversion and any subscription.
Etsy changes fees from time to time; check the current fee page before you set up the sheet.
Example with made-up numbers
Order: 2 items at 28 = 56 · shipping charged 8.50 · total 64.50
Transaction 6.5% of 64.50 = 4.19 · processing 3% + 0.25 = 2.19 · listing 0.20
Fees: 6.58 · shipping label 7.90 · materials 2 × 8.50 = 17
Profit: 64.50 − 6.58 − 7.90 − 17 = 33.02 · margin 51.2%
This example counts one $0.20 listing fee. In a multi-quantity order Etsy also charges $0.20 for each extra item sold, so this order really costs $0.20 more. The free Etsy fee calculator runs these numbers for any order.
Monthly routine
- Download the monthly CSV from Shop Manager (Settings, Options, Download Data) or your payment account statement.
- Record total sales, shipping charged, refunds and each fee type.
- Add purchases of materials, packaging and tools, with receipts.
- Check that sales minus fees and labels equals the payouts that reached your bank.
Sales tax
In most US states, Etsy collects and remits sales tax on your sales as the marketplace facilitator. That tax is not your income; keep it out of your sales figures. If you also sell at craft fairs or on your own website, you may have to collect sales tax yourself; check your state's rules.
How it maps to your tax return
- Gross sales and shipping charged → Schedule C, line 1
- Refunds → line 2
- Cost of goods sold (materials in the items you sold) → Part III, then line 4
- Etsy fees → commissions and fees · Etsy Ads → advertising · shipping labels and packaging → supplies or other expenses
Cost of goods sold is the part most sellers get wrong; see cost of goods sold for Etsy sellers.
More than one channel
If you also sell on your own site, at markets or on other platforms, give each channel its own columns for sales and fees, and keep inventory and materials in one place. One set of books, several channels. For pricing before you list, see the Etsy pricing calculator guide.
Frequently asked questions
How do I do bookkeeping for my Etsy shop?
Record each month's gross sales, shipping charged, refunds and every fee type from Etsy's CSV, add your material and supply purchases, and check the total against your payouts.
What are Etsy's fees in the US?
A $0.20 listing fee, a 6.5% transaction fee on item price plus shipping, payment processing of 3% plus $0.25, and Offsite Ads at 15% or 12% when a sale comes from them. Check Etsy's fee page for changes.
Is the sales tax Etsy collects my income?
No. In marketplace facilitator states Etsy collects and remits it for you. Leave it out of your sales figures.
General information, not financial, tax or legal advice. Examples use made-up numbers.
Handmade & Reseller Bookkeeping 2027
Fees, payouts, cost of goods and inventory across Etsy and your other channels, mapped to Schedule C.