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Landed cost
- Landed cost per unit
- Split by value, units or weight
- US, UK and UAE duty bases
Opens in Excel, Google Sheets and Apple Numbers.
Free tools · Ecommerce
Free landed cost calculator: the true cost of every unit you import.
Excello's free landed cost calculator adds freight, insurance, customs duty and fees to what you paid the supplier, and shows what each unit really cost to reach your warehouse.
Use it online below, or download the Excel version to split one shipment across several products.
Free. No sign-up. Works on any device.
- Calculator
- Duty US, UK, UAE rules
- Cost per unit
- Excel included
- Price free
Work out your landed cost per unit
The calculator
Enter one shipment of one product. Choose how duty is charged in the country you import into, and the result updates as you type.
Landed cost
- Goods
- Freight and insurance
- Customs duty
- Fees and delivery
- Total landed cost
- Landed cost per unit
- Added to the supplier price
Example: 500 units at 8.00, with duty of 10% on goods, freight and insurance.
What is landed cost?
What counts
How to calculate landed cost: the landed cost formula
By hand
Landed cost = goods + freight + insurance + customs duty + fees + delivery
Landed cost per unit = landed cost ÷ units
For the calculator's example: $5,250 ÷ 500 units = $10.50 a unit. The supplier charged $8.00, so getting each unit to the shelf added 31.25% to its cost.
Duty here is 10% on the goods, freight and insurance together, $4,550, which is how the UK and the UAE work it out.
| Line | Amount |
|---|---|
| Goods: 500 units × $8.00 | $4,000.00 |
| Freight | $520.00 |
| Insurance | $30.00 |
| Customs duty: 10% × $4,550 | $455.00 |
| Customs, broker and port fees | $145.00 |
| Delivery to your warehouse | $100.00 |
| Landed cost | $5,250.00 |
| Per unit | $10.50 |
Customs duty: charged on the goods, or on freight too?
US, UK and UAE
The same shipment pays different duty depending on where it lands, because countries value imports differently.
| Importing into | Duty is charged on | Example rate | Duty | Landed cost per unit |
|---|---|---|---|---|
| United States | The price of the goods, without international freight and insurance | 10% | $400.00 | $10.39 |
| United Kingdom | The goods plus transport and insurance up to the UK border | 10% | $455.00 | $10.50 |
| United Arab Emirates | The goods plus freight and insurance (CIF), at 5% for most goods | 5% | $227.50 | $10.05 |
US and UK rates depend on each product's tariff code and origin; the 10% here is only for comparison. Check the official tariff before you rely on a rate.
Source: 19 U.S. Code 1401a(b)(4)(A); GOV.UK, delivery costs to include in the customs value; UAE Government portal (u.ae), customs duty and tariff. Checked 22 September 2026.
Landed cost per unit when one shipment holds several products
Splitting the costs
Freight, insurance and fees are paid once for the whole shipment, so they have to be shared out. The method you pick changes each product's cost.
| Product | Units | Supplier price | Split by value | Split by weight | Split by units |
|---|---|---|---|---|---|
| Ceramic mug | 300 | $4.00 | $5.25 | $5.57 | $6.10 |
| Canvas tote bag | 150 | $6.00 | $7.88 | $7.48 | $8.30 |
| Table lamp | 50 | $38.00 | $49.88 | $49.13 | $43.50 |
By value gives every product the same percentage on top of its price. It is the usual choice, and the Excel template's default.
By weight loads the cost onto heavy goods. Use it when freight is billed by the kilogram and products weigh very different amounts.
By units gives every item the same share. It suits a shipment of similar products, and flatters expensive ones.
Here the lamp costs anywhere from $43.50 to $49.88 a unit, depending on the method. Pick one, write it down and use it for every shipment, so your margins stay comparable.
Landed cost accounting: where it goes in the books
The entries
Source: IAS 2 Inventories, paragraph 11; GOV.UK, postponed VAT accounting. Checked 22 September 2026.
Landed cost calculator Excel template, free
The file
Landed cost in your books, every shipment
Where Excello fits
Frequently asked questions
What is landed cost?
Landed cost is the full cost of getting a product to your warehouse. It is the supplier price plus freight, insurance, customs duty, customs and port fees and delivery. Divided by the units in the shipment, it gives the true cost of each item you sell.
How do you calculate landed cost per unit?
Add the goods, freight, insurance, customs duty, fees and delivery for the shipment, then divide by the number of units. In the example, $5,250 ÷ 500 = $10.50 a unit, against a supplier price of $8.00.
Is customs duty charged on freight?
It depends on the country. The US charges duty on the price of the goods and leaves out international freight and insurance. The UK and the UAE charge duty on the goods plus freight and insurance up to the border.
Is VAT part of landed cost?
Not if you can reclaim it. A VAT-registered business that recovers import VAT on its VAT return leaves it out of landed cost. Import VAT or other taxes you cannot reclaim are part of the cost.
Should I split shipping costs by value or by weight?
By value suits most shipments. By weight suits heavy, cheap goods, where kilograms drive the freight bill. In the example shipment, the lamp costs $49.88 a unit split by value, $49.13 by weight and $43.50 by units.
Is landed cost part of cost of goods sold?
Yes, once the goods sell. Landed cost is added to the value of your stock when the shipment arrives, and each unit moves to cost of goods sold at its landed cost when it is sold.
Is this landed cost calculator free?
Yes. The calculator on this page and the Excel template are both free, with no sign-up needed. The template adds a sheet that splits one shipment across several products, with a duty rate for each.