Shipping Policy Template for Online Stores (2026)

A shipping policy template sets out how fast you process orders, which carriers and methods you use, what shipping costs, and what happens when parcels are late, lost or damaged. It answers customer questions before they become support tickets, and in the US it also keeps you on the right side of the FTC's rule on shipping promises: if you state a shipping time, you must be able to meet it. This guide gives copy-ready wording, the legal points that matter, and a worked example of handling a delay.

This is general information, not legal advice. If you sell in several countries or ship regulated goods, get specific advice on carrier, customs and consumer rules.

The FTC rule behind every US shipping policy

The FTC's Mail, Internet, or Telephone Order Merchandise Rule applies to most goods ordered by mail, phone, fax or online. Its main points:

• Reasonable basis: you must have a reasonable basis for any shipping time you advertise or imply.
• Default 30 days: if you state no shipping time, you must expect to ship within 30 days of receiving a properly completed order (50 days if the customer is applying for credit with you to pay).
• Shipping means handing to the carrier: the clock is measured to when the item is placed with the carrier, not delivery.
• Delay option notice: if you cannot ship on time, you must promptly tell the customer and offer the choice to consent to the delay or cancel for a full refund, with a free way to cancel.
• Prompt refunds: within seven working days for cash, check, money order or third-party card payments; within one billing cycle if you extended the credit.
• No vouchers: store credit cannot replace a required refund.

The rule does not cover services, COD orders, seeds and growing plants, or magazine subscriptions after the first issue, among other exemptions. Even when the rule does not apply, your stated policy is a promise, and false claims can be deceptive under general consumer law.

What to include in your shipping policy

Section	What to state	Example
Processing time	Business days to pack and hand to carrier	Orders ship within 1-2 business days
Methods and delivery estimates	Carrier options and typical transit time	Standard 3-7 business days; Express 1-3
Rates	Flat, weight-based or calculated; free-shipping threshold	Free standard shipping on orders over $75
Coverage area	States, territories, PO boxes, countries	We ship to all 50 states and APO/FPO
Tracking	How and when customers get tracking	Emailed when the label is created
Delays	What you do if you cannot ship on time	We email you with a new date and the option to cancel
Lost, stolen or damaged	Reporting window and remedy	Report within 7 days of expected delivery
Address errors	Who pays for reshipping	Customer pays reshipping for incorrect addresses
International	Duties, taxes, refused parcels	Duties and taxes are paid by the recipient
Pre-orders and backorders	Expected ship date and cancellation rights	Ships by March 15; cancel anytime before shipping

Shipping policy template (copy and adapt)

Order processing. We process orders within [1-2] business days (Monday to Friday, excluding public holidays). Orders placed after [2 p.m. Eastern] are processed the next business day. You will receive an email with tracking when your order ships.

Shipping methods and rates.

• Standard (3-7 business days): $[5.95], free on orders over $[75].
• Express (1-3 business days): $[14.95].
• Delivery estimates start from when your order ships and are not guaranteed by the carrier.

Where we ship. We ship to all US states, including PO boxes and APO/FPO addresses via USPS. International shipping is available to [countries].

Delays. If we cannot ship your order within the time stated, we will email you with a revised ship date and give you the option to cancel for a full refund. If you cancel, we refund your payment within 7 business days.

Lost, stolen or damaged parcels. If your tracking shows no movement for [7] days, or your parcel arrives damaged, contact us at [email] within [7] days of the expected delivery date with your order number and photos (for damage). We will file a claim with the carrier and send a replacement or refund once confirmed.

Incorrect addresses. Please check your address at checkout. If a parcel is returned because of an incorrect or incomplete address, we will reship at your cost or refund the order minus original shipping.

International orders. Prices do not include import duties, taxes or brokerage fees, which are the recipient's responsibility. If you refuse a parcel, we refund the item cost minus shipping and any return charges.

Questions. Contact [email / phone].

Step by step: building your shipping policy

1. Measure your real processing time over a busy month. Promise what you can meet on a bad week, not a good one.
2. Pick carriers and service levels and note their published transit times.
3. Set your rate model: flat rate, free over a threshold, or carrier-calculated.
4. Decide on risk: who bears loss in transit, whether you add insurance or signature requirements over a certain order value.
5. Write the delay process so your team knows when to email customers.
6. Publish it on product pages (short version), checkout, footer and order emails.
7. Align it with returns. Your return policy template should use the same contact details and timing language.

Worked example: handling a supplier delay

This example is illustrative. An online homeware store states "ships within 2 business days." On November 3 it takes 40 orders for a ceramic set, then learns the supplier's stock will not arrive until November 20.

1. The store's stated time was 2 business days, so it must send delay notices by November 5 at the latest.
2. Each email gives the new ship date (November 21), explains the right to cancel for a full refund, and includes a free cancellation link.
3. Because the new date is within 30 days of the original promise, the notice states that customers who do not respond will be treated as agreeing to the delay.
4. Six customers cancel. Each paid $89 plus $5.95 shipping; the store refunds $94.95 to each card within seven working days, a total of $569.70.
5. When stock arrives early on November 19, the store ships the remaining 34 orders and emails tracking.

Had the store said nothing and shipped late, it would have risked FTC exposure and a wave of "item not received" chargebacks.

Setting a free-shipping threshold that pays

Free shipping lifts conversion, but you pay the carrier either way. A simple approach is to set the threshold a little above your average order value, so customers add one more item to qualify. For example, if your average order is $58 and your average label cost is $8.40, a $75 threshold nudges a $58 customer to add a $20 item and check out at $78. If your gross margin is 50%, that extra item earns about $10, which covers most of the $8.40 label you now absorb, and the higher conversion rate does the rest. Track the share of orders that hit the threshold each month and the average shipping cost per order; if margins fall, raise the threshold or limit free shipping to standard service.

Handling lost and porch-stolen parcels

Write the process down so every case is handled the same way:

1. Ask the customer to check with neighbors, building reception and safe places, and wait one business day after a "delivered" scan.
2. Check tracking and any GPS or photo proof of delivery from the carrier.
3. File a carrier or insurance claim if the parcel was insured.
4. Reship or refund according to your policy, and note the order so repeat claims from the same address are visible.
5. For high-value orders, require signature on delivery in future.

Shipping on invoices and packing documents

For B2B and wholesale orders, your invoice should show the ship-to address separately from the billing address, the shipping charge as its own line, and the delivery terms. Our guides explain billing address vs shipping address, FOB shipping point vs destination (which decides when ownership and risk pass), and international Incoterms on invoices. Include a packing slip in the box rather than the invoice if the recipient is not the payer; see packing slip vs invoice.

Shipping charges can be taxable depending on the state, so list them separately; our guide to sales tax on shipping covers the main approaches. If you offer cash on delivery, note that the FTC rule does not cover COD orders, and see cash on delivery invoicing for how to bill it.

Common shipping policy mistakes

• Promising delivery dates you do not control. State ship times; describe carrier transit times as estimates.
• Ignoring peak season. Update processing times for holidays and sales events.
• No delay process. Silence is the fastest route to complaints and disputes.
• Offering store credit when a refund is required.
• Missing international details. Unexpected duties are a top cause of refused parcels.
• Policy contradicts checkout. If checkout says "arrives Friday," that is what customers will hold you to.

Bill shipping clearly

If you are just getting started, our guide on how to start an online store covers the policies you need before launch. When you invoice wholesale or custom orders, add shipping as a separate line, include the ship-to address and reference your shipping terms. Our free invoice generator lets you do all of that with no sign-up and download the invoice as a PDF to send with the order confirmation.