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Handling fees

By default, Dutify does not include handling fees in its landed cost calculations. However, you may want to account for additional processing or service charges when calculating landed cost.

What is a handling fee?

A handling fee is an additional charge that covers extra costs associated with processing an order. In landed cost calculations, it ensures your customers see a more accurate total cost before making a purchase.

How handling fees work in Dutify

You can configure handling fees in one of two ways—or even use both together:

  1. Percentage-based fee
    1. Calculated as a percentage of the order value.
    2. The order value includes:
      1. Items
      2. Shipping
      3. Insurance
  2. Flat fee
    1. A fixed amount added to every order regardless of size or value.
  3. Using both percentage and flat fees
    1. If both are defined, Dutify first applies the percentage-based fee.
    2. After that, the flat fee is added.

The total handling fee is then added to the shipping cost as part of the landed cost calculation.

Example calculation

Let’s say you configure:

  • Handling fee (percentage): 5%
  • Handling fee (flat): $10

And you have an order with:

  • Items: $200
  • Shipping: $30
  • Insurance: $20

Here’s how Dutify calculates the handling fee:

  • Order value = $200 + $30 + $20 = $250
  • Percentage fee = 5% of $250 = $12.50
  • Flat fee = $10
  • Total handling fee = $12.50 + $10 = $22.50

This $22.50 is added to the shipping cost when calculating the landed cost.

Why set a handling fee?

If your carrier charges you an additional fee to ship Delivery Duty Paid (DDP), to ensure operational costs (e.g. packaging, processing) are covered and avoid underestimating expenses on international shipments.

How to configure handling fees

  1. ​Login to your account.
  2. Go to Settings > API Access and locate the Configure handling fee section.
  3. Enter a percentage, a flat fee, or both (note: you need to also specify the currency if using flat fee).
  4. Save configuration.

Your configured handling fee will now be automatically included in all future landed cost calculations.

Updated 10 days ago