Good to know
- A new shop may pay a one-time set-up fee. Etsy does not state the amount on its fees page.
- If your listing currency differs from your payment account, Etsy adds 2.5% for currency conversion.
- Offsite Ads are 15% for shops under $10,000 a year, which can opt out, and 12% and mandatory above that, up to $100 an order. Entering any ad rate applies 15%.
How Etsy fees work
Etsy stacks three fees on an ordinary US sale. A listing costs $0.20 and lasts four months, charged whether or not the item sells. When it does sell, the transaction fee is 6.5% of the item price, the shipping and any gift wrap, leaving out US sales tax. Payment processing through Etsy Payments is 3% plus $0.25 for a US bank account, and that one does include tax and shipping.
Add those together and a $50 sale with free shipping and 7% tax costs about $5.31 in fees, a little over 10%. Notice that if you charge the buyer for shipping, Etsy charges on that too, so moving cost out of the item price and into shipping does not save you anything.
Offsite Ads are the big variable. When Etsy advertises your listing on other sites and a buyer clicks and purchases within 30 days, you pay a fee on the order, up to $100. Shops that made under $10,000 in the past year pay 15% and can opt out in settings. Once you reach $10,000, the rate is 12%, and it becomes mandatory for the life of the shop. A single Offsite Ads sale can cost more than the rest of your fees put together, so enter an ad rate above to see the worst case.
Etsy Ads, the on-site program, work on a daily budget you set, so they do not fit a per-sale calculation. Etsy Plus at $10 a month and Pattern at $15 a month are optional subscriptions. Currency conversion adds 2.5% if your listing currency differs from your payment account.
One more thing to weigh: multi-quantity listings renew at $0.20 after each sale, and listings set to auto-renew keep costing $0.20 every four months until they sell, so stale inventory costs a little real money over time.
A worked example
Say you sell an item you paid $10.00 for at $50.00, with free shipping to the buyer and 7% sales tax, you pay $8.00 for the label. On Etsy that comes to Listing fee $0.20, Transaction fee $3.25, Payment processing $1.86, $5.31 in total. You keep $26.69, a 53.4% margin.
Common questions
What are the total Etsy fees on a sale?
A $0.20 listing fee, a 6.5% transaction fee, and 3% plus $0.25 for payment processing. Offsite Ads can add 12% or 15% when they apply.
Can I opt out of Etsy Offsite Ads?
Only while your shop has made under $10,000 in the past 365 days. Past that, the program is mandatory at 12% for the life of the shop.
Does Etsy charge fees on shipping?
Yes. The transaction fee and payment processing both include the shipping the buyer pays.