Fortunately, many of us use Excel in our business organisations. In any business organisation, we use Excel to organise data as per need. Moreover, one thing is that you can calculate the shipping cost in Excel for better operation. However, I have used Office 365 for the purpose of demonstration, and you can use other versions according to your preferences. In this article, I will show you a step-by-step procedure to create the shipping cost calculator in Excel. Hence, read through the article to learn more and save time.
Here, I have used the VLOOKUP function in order to calculate the total shipping cost with tax.
Download Practice Workbook
You can download the workbook used for the demonstration from the download link below.
What Is Shipping Cost Calculator?
Generally, shipping cost refers to the cost required for the transportation of consignments from one place to another. Moreover, the cost depends on several factors like the weight of the product, quantity, weight, location and many more. However, the shipment company determines this cost and the customers need to pay according to the rate. Additionally, we can easily calculate the shipping cost in Excel as it includes all the necessary functions and formulas. One advantage is that you need to calculate the shipping cost multiple times if you create the calculator in Excel once.
Step-by-Step Procedure to Create Shipping Cost Calculator in Excel
Often, we need to create the shipping cost calculator for certain business analytics, and the process becomes more interesting with Excel. However, the task is very easy and simple. But you will need an arrangement and some formulas in order to perform the operation properly. Hence, read through the following steps if you want to create the shipping cost calculator properly and easily.
📌 Step 1: Gather Data for Shipping Cost per Unit with Tax
To provide a demonstration, let’s investigate a sample dataset. Here, it contains the shipping details of a shipping corporation if anyone wants any shipment for his/her products. For instance, the following dataset has four columns titled Weight of Item in Kg, Shipping Cost Per kg, amount of Tax, and Net Shipping Cost/Kg. In addition, I have yet to say that I have been working with the Microsoft Excel 365 version for this post. Nevertheless, you are free to use any other edition that will provide you with the most significant amount of convenience.
📌 Step 2: Calculate Net Shipping Cost per Kg Considering Taxes
- Initially, select cell E5.
- Then, write down the following formula.
- Afterward, press the Enter key from the keyboard.
- Lastly, utilize the AutoFill tool to the entire column in order to find the Net Shipping Cost per Kg.
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📌 Step 3: Determine the Total Shipping Cost
- Firstly, insert a Consignment Shipping Weight in cell E13. However, you can provide any number according to the product weight in Kg. Here, I have provided 21 kg.
- Secondly, click on cell E14.
- Thirdly, insert the formula mentioned below.
🔎 Formula Breakdown:
- First of all, E13 is the consignment shipping weight for which you are likely to calculate the shipping cost.
- Then, range B5:E11 is the table array where the shipping cost is given for a particular amount of consignment weight. Additionally, it provides net shipping cost/kg including the amount of tax.
- Next, 4 indicates the column index number from which the value will be returned. Here, I have used 4 to select the Net Shipping Cost/Kg column.
- After that, the last argument determines whether the function will return an exact match or an approximate match. Here, 1 indicates an exact match.
- Lastly, multiplying the shipment weight provides the total shipping cost with tax as $319.
- Finally, hit the Enter button in order to find the total shipping cost including tax.
Last but not least, you will get your desired output. However, the output will show you the amount of shipping cost for a particular amount of weight. Additionally, it includes the tax. Hence, it is the total shipping cost according to the weight of your product.
💬 Things to Remember
- First of all, you can choose any weight and corresponding cost per Kg according to your company regulations.
- Then, the Tax amount may vary for various countries or regions. So, put the amount according to your regional rules and regulations.
- Next, you can change the dataset according to your preference.
- Afterward, you can add extra charges if needed.
- At last, you have to change the Consignment Shipping Weight to get the Total Cost according to your items. However, this calculator will always show you the net cost for your consignment.
These are all the steps you can follow to create the shipping cost calculator in Excel. Overall, in terms of working with time, we need this for various purposes. I have shown multiple methods with their respective examples, but there can be many other iterations depending on numerous situations. Hopefully, you can now easily create the needed adjustments. I sincerely hope you learned something and enjoyed this guide. Please let us know in the comments section below if you have any queries or recommendations.
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