Are you wondering how much to charge for shipping? If yes, you should check out our beginner’s guide by clicking right here.
If you’ve sold an item online or elsewhere and need to ship it, you might be wondering how much you should charge for shipping. The last thing you want to do is lose out on your profits by miscalculating how much shipping is going to be.
The question “How much is shipping and handling?” shouldn’t have to be a difficult one.
Keep reading to learn how much to charge for shipping.
The Cost of Handling
If you have an online store or another kind of business, you might have hired one or more employees to put each item into a package. Their pay, of course, must be calculated into the overall cost of shipping and handling.
The best way to calculate the handling portion is by multiplying a given employee’s hourly wage by the amount of time it takes to package something divided by 60.
The equation should look like the following:
- (hourly wage) x (average time to package something) / 60
In this case, the division should always come first and then the multiplication. That way, when someone asks you how to calculate shipping costs for an online store, you can tell them one of the most important parts.
The Cost of Packaging
Not all packing materials can come free of charge, unfortunately. This means you’ll need to constantly pay for materials like bubble wrap, tape, different sizes of boxes, and more.
The best way to calculate the cost of packaging is by keeping track of what your spending on all of these items and then figure that into the overall price.
Smaller boxes and envelopes will, of course, cost less than heftier packaging materials.
It’s important to remember that if an item shows up damaged, then you could be held responsible. It’s always best to put care and attention to detail in every package that you prepare for shipment.
The Cost of Shipping
To calculate the cost of shipping, you’ll need to know both the weight of a given item and its dimensions.
Aside from these factors, the actual destination of your item will contribute to most of what you’ll need to charge for shipping. If the item is shipped within the country you live in, then it will be much cheaper than sending it abroad.
Fortunately, once you have the weight, dimensions, and destination, you can use a free shipping calculator to determine the postal system shipping charge.
If you live in Richmond, Virginia, you should learn more about independent courier and delivery services in the area. That way, you can take advantage of one-day shipping at a competitive rate.
Now You Know How Much to Charge for Shipping
The next time you sell an item online or elsewhere, you’ll know how much to charge for shipping so you can avoid eating into your profits.
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