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Free tool

COD profit calculator for Pakistani Shopify stores

Set the five numbers that decide a cash-on-delivery month and watch the gap open between what your dashboard reports and what reaches your bank. Same arithmetic Kaarobar runs on real orders — RTO, freight both ways, packaging, GST on courier services, and the 2% + 2% withholding on delivered COD.

600
PKR 4,000
46%

Share of the order value your goods cost you. Kaarobar reads this per product from Shopify’s cost per item.

68%

The rest come back RTO — and every one of them costs freight both ways plus packaging while still counting as a sale on your dashboard.

PKR 220
One month, your settings 408 delivered · 192 RTO
What Shopify calls salesevery order placed, at face value 2,400,000
Never collected — RTOrefused or undelivered parcels −768,000
Product cost on what did deliver −750,720
Courier freight, both directionsforward on every parcel, return on every RTO −174,240
GST on courier services & packaging −63,878
Withholding tax2% income + 2% sales tax on delivered COD −65,280
Money you keep 577,882
Gap between the dashboard figure and your bank — 24% of reported sales is all you keep. −1,822,118

Illustrative model, in PKR. Packaging is held at PKR 60 a parcel and GST on courier services at 16% of freight; your real figures come from your own orders, costs and courier invoices once the app is installed.

What each line means

The model is deliberately small enough to argue with. If a line looks wrong for your store, it probably is — which is the point at which a calculator stops being useful and real order data starts.

What Shopify calls sales
Every order placed, at face value. On COD this is a count of intentions, not of money.
Never collected — RTO
The share that comes back undelivered. Nothing is collected on these, but they have already cost you the outbound freight and the packaging, and they will cost you the return freight. This is the single biggest lever on the whole page: move the delivery-rate slider a few points and watch the bottom line move further than any other control shifts it.
Product cost on what did deliver
Applied to delivered orders only. An RTO's stock comes back to the shelf, so charging COGS against it would double-count the loss you already took on the freight.
Courier freight, both directions
A forward leg on every parcel, plus a return leg on every RTO. Couriers bill the return as a separate charge, which is why a 68% delivery rate does not cost 68% of the freight.
GST on courier services & packaging
Sales tax on the courier's service charge, plus your own packaging on each parcel. Small per order and substantial per month.
Withholding tax
2% income tax and 2% sales tax on delivered COD, deducted by the courier before the money reaches you. It is taken from the collected amount, not from your profit, which is why it hurts most on a low-margin, high-AOV product.

Where the estimate will be wrong for you

It assumes one product cost ratio, one courier charge and one delivery rate across the whole month. Real stores have none of those: delivery rates swing 20 points between cities, freight is weight-banded, and margin varies per product. The direction is right and the magnitude is roughly right — but the order-by-order answer only comes from your own data.

Run it on your real orders — install free