Landed Cost Calculator
Calculate the true landed cost per unit of imported goods including freight, duty, insurance, customs fees, and handling — the number your pricing should actually be based on.
Formula & Reference
| Variable | Symbol | Formula | Units |
|---|---|---|---|
| Landed Cost Calculator | — | Landed cost = (goods + freight + duty + insurance + fees) / units | currency per unit |
Step-by-Step Examples
1,000 units at 12.50, freight 1,800, insurance 150, duty 6.5%, customs 350, handling 400.
- Goods = 12,500
- Dutiable value (CIF) = 12,500 + 1,800 + 150 = 14,450
- Duty = 14,450 × 6.5% = 939.25
- Total = 12,500 + 1,800 + 150 + 939.25 + 350 + 400 = 16,139.25
- Per unit = 16.14
500 units at 3.00, freight 2,200, duty 4%, customs 300.
- Goods = 1,500
- Dutiable = 1,500 + 2,200 = 3,700, duty = 148
- Total = 1,500 + 2,200 + 148 + 300 = 4,148
- Per unit = 8.30 — nearly triple the supplier price
200 units at 180.00, freight 900, duty 2.5%, customs 400.
- Goods = 36,000
- Dutiable = 36,900, duty = 922.50
- Total = 36,000 + 900 + 922.50 + 400 = 38,222.50
- Per unit = 191.11 — only 6.2% uplift
Real-World Applications
Common Mistakes to Avoid
As the second example shows, freight and fees can nearly triple the effective cost of low-value goods. Margins calculated on supplier price can be entirely illusory.
Most customs regimes assess duty on the CIF value — cost, insurance, and freight — not the goods value alone, which understates duty owed.
Goods paid for in a foreign currency at order time may cost meaningfully more by the time payment settles. Landed cost should reflect the actual rate paid.